Market Crash Ahead If This Chart Is On the Money

Your next video will start in

Recommended Videos

  • Info

  • Comments


July 8 (Bloomberg) –- On today’s “Chart Attack,” Bloomberg's Barry Ritholtz looks at a chart that suggests the S&P 500 Index could be headed for a major crash. He speaks with Trish Regan on Bloomberg Television’s “Street Smart.” (Source: Bloomberg)


This chart dug up by barry compared the s&p 500 from its recent low of march of 2009 with the same index from the early 1980's. i don't know what you are implying, that there is another market crash ahead, but still nonetheless it is not necessarily something that one wants to see.

I use the chart as a rorschach test to test people and see what their perspective is.

Are they risk-averse or risk embracing?

Some people look at the chart and say that we are about to have a 1987. other people are more circumspect and look at it and say -- from 1982 to 1987 we had a good run where we are up 190%. act in 1982 we were up 235%. it was the first five years of an almost 20 year bull market.

So, if a longer-term perspective holds true, we could be in a new secular bull market during year five.

Last time we went 18 years.

Other than that take-up on october 19 in 1987, this is potentially a long-term bullish chart which suggests that before the 87 crash we had gone much further, faster than the current market is running.

When people say that this market is unprecedented, it is actually not.

That is encouraging.

We did more and more quickly.

Don't go anywhere, you are on

This text has been automatically generated. It may not be 100% accurate.


BTV Channel Finder


ZIP is required for U.S. locations

Bloomberg Television in   change