Assumption: 1) We hit the top in late April 2010 after a huge rally since market bottomed in March 2009; 2) since May 2010 we are in the correction mode; 3) American economy is healthy and sound and we are not heading into a double dip of 2009 bottom level.
Now let’s take a monthly view of Naz in the past 10 years: I see three
similar big rallies and three notable corrections. The correction level was about 10 to 15%; and it took 4 to 6 months to complete; all 3 rallies lasted 12 to 14 months. S
