Technical Analysis and Stock Market Trends

The Dow Jones index over the past 74 years shows there are overall market trends.

• Upward movement- bull markets
• Downward movement- bear markets
• Flat periods
• Volatile transition periods

These stock market trend periods offer great opportunities for you to make very good returns if you are nimble enough to enter and exit at the right moment.

At Luthman Financial Management (LFM), we use technical analysis techniques to help you take advantage of these opportunities. opportunities that you'd miss out on if you relied only on fundamental analysis!

(Clicking on links below will launch a pop-up window.)

Daily Chart	Weekly Chart

Click here to view charts

These charts illustrate two pluses of technical analysis:

• Even in a stagnant market, you could make significant gains
• The most advantageous times to invest are when short-term (daily) and weekly charts technical indicaters coincide

In the two-year period you see here, there were three rallies with 25% gains. and two market corrections that lost an average of 30%. Using charts like these and technical analysis techniques, Luthman Financial Management can help you buy and sell at the appropriate time - to make excellent returns even in a stagnant market.