In "The Last Great Exit" posted September, 2009 I made this statement:
"Here's a potential outcome (Dow peaking in the 10000-10500 range)."
That prediction appears to be holding up nice. The "slope of the sand pile"' in March and April was just too steep. A nice correction and some "flash crash" and here we are. We're at the fork in the road between the "V" and the "Tilted W". More on that later.
The Fed has done a great job of "keeping the patient alive", but at some point "Weekend at Bernanke's" has to come to a tragic ending.
"The Fed will only lengthen the correction."
Random Roving, September 30, 2008