Dow Jones Industrial Average Might Be Facing Big Hurdle In Few Months To Come ?????

Dow Jones Industrial Average just recovered recently from their recently low of 10,604.07 points with the index able to climb to 11,716.84 points. Based on the chart calculation the recently technical rebound perform by the Dow Jones seems to be reaching their goals. Any further gains would be limited.

This assumption was based on the two charts that I have posted. If we take a look on both of the charts pattern they were some similarity between the two charts. Whether they will follow the same pattern, it still pose another question?

Chart A -Period From June 2007 - Dec 2007

Chart B -Period From Feb 2011 - Aug 2011

Chart C - Period from May 2007 - Aug 2011

Chart A shows the Dow Jones Industrial Average movement from June 2007 till Dec 2007 before the index facing lots of pressure and went to its lowest during the year of 2008. Chart B shows the Dow Jones Industrial Average movement from Feb 2011 till Aug 2011. That is where we can compare the similarity between both of the charts. Both of the charts are telling us it happens during the financial crisis (2007 - 2008 Sub-Primes Financial Crisis and the collapse of Lehman Brothers Holdings). (2011 - European Financial Crisis and the US Debt Crisis).

This just one of the assumption based on the charts reading. Maybe there will be more bad news coming in the future but it is hard to say that the financial crisis will continue to a level where by it will bring down the whole world stock market even lower. At these moments the current sentiments shows that the share market are still inside the downtrend channel. So it is still important that any accumulation done should be based on the current trend. Whether the current trend will change from a down trend to upper trend? It is still early to tell.