Message:

<p>[QUOTE=&quot;medoraman, post: 1273650, member: 26302&quot;]Very good post. I agree. The other problem with even using the S&amp;P, (though I believe it would be more useful), is the fact so many public companies are now international. This will have the effect of muting any US problems that used to be more highlighted using such a ratio. Before a weak dollar would lower stocks and raise gold, allowing such a ratio to happen, but now a weak dollar will raise Corporate earnings to the extent they are earned in other currencies.</p><p><br /></p><p>Personally, I believe 2008 demostrated that this relationship between the Dow and gold will never be 1-1 again due to changes in market structure. If 2008 did not drive such a ratio, I am not sure what could short of a total meltdown.</p><p><br /></p><p>As to the OP question, I believe Cloud has good answers as well. Its hard though since tops are not all the same. Typically you will experience greater volatility near a top, but for every rule of thumb you can put forward, you can find exceptions to the rule. If it was easy everyone would know it. Overall I think you have three good responses to your question Alex, they don&#039;t completely agree but all have validity.</p><p><br /></p><p>Chris[/QUOTE]</p><p><br /></p>

Your name or email address:

Do you already have an account?

• No, create an account now.
• Yes, my password is:
• Forgot your password?

Stay logged in