The first chart shown below provides the Dow’s current calculated trajectory. The second chart is a 2006 – 2008 trajectory for the Dow illustrating how the current trajectory should move.
The Dow’s move above its current line of trajectory is similar to what occurred in November and December of 1916. In the last half of December 1916 the Dow dropped quickly below its line of trajectory and continued to move lower resulting in a 40% decline by December 19, 1917.
The Dow is currently expected to move back in line with its calculated trajectory and continue on its projected line of descent going into November 2024.
Stock charts courtesy of StockCharts.com.
