Warning: Dow at top of channel.

[gordon@xxxxxxxxxxxxxxx (Guy Gordon)]

This chart should scare the bejesus out of us all.
http://www.white-crane.com/stocks/DOW.gif

It's a weekly chart of the DOW 30 Industrials from 1982 to present.
There is a *well* defined channel that we hit the top of today.
This channel top was hit in at these times:

August 1987 - declined from 2750 to 1616 (-41%)
August 1997 - declined from 8300 to 7000 (-16%)
April 1998 - declined from 9300 to 8600 (-8%), 
  Then climbed to back to 9300 before falling to 7400 (-20%)

Now, I'm not Chicken Little.  I'm a long term bull.  But this is
warning me to get out of this market for while.  I think the
fundamentals of this market are strong (low interest rates and big
cash inflows.)  So I don't expect a big correction.  I just don't want
to be in for even a small one.

In the last few days I've sold HD, WMT, MWD, NITE, PFE, VISX, CYMI.
I'm hoping for a bounce tomorrow so I can sell some others.

Good luck.