http://flashtrafficblog.wordpress.com/2014/02/12/wall-street-journal-scary-1929-market-chart-gains-traction-if-market-follows-the-same-script-trouble-lies-directly-ahead/“One of the biggest objections I heard two months ago was that the chart is a shameless exercise in after-the-fact retrofitting of the recent data to some past price pattern,†Hulburt notes. “But that objection has lost much of its force. The chart was first publicized in late November of last year, and the correlation since then certainly appears to be just as close as it was before. To be sure, as McClellan acknowledged: ‘Every pattern analog I have ever studied breaks correlation eventually, and often at the point when I am most counting on it to continue working. So there is no guarantee that the market has to continue following through with every step of the 1929 pattern. But between now and May 2014, there is plenty of reason for caution.’
