Important Familial Relationships
The turning points that have "proven" that they are part of the underlying architecture of the market, because they have demonstrated the importance of their relationship to each other, can "strike" again...
The turning points that are involved in Example 1 have "proven" that they are part of the underlying architecture of the market, because they have demonstrated the importance of their relationship to each other. Therefore, we can expect them to "strike" again:
The total number of days from the 1962 bottom to the 1982 bottom is 5077.
The total number of days from the 1962 bottom to the 1987 peak is 6350.
5077/6350=0.7995
0.7995 x 5077 = 4059
This is another three term continuous proportion. This time we only showed the same thing in a few different ways ...soon we'll just show it one way. The below chart illustrates that 4059 days forward from the 1982 bottom is the DJIA bottom of 09/01/98! Now we are covering a time span of over thirty six years! When will it end? Never!
