IAI is the (Dow Jones US Broker Dealer ETF). The chart in perfect correlation with Goldmans Sachs (GS) .. the leader of the group ! One thing that has sturck me is how IAI (and GS) looks like they ave topped in early October (C') ! When I look at IAI on a longer term scale you can clearly see the bottom (A') at the end of November 2008 early December. On the other hand, the bottom (B) for the SPY (S&P 500) occured roughly 3 MONTHS later in March 2009. What if GS & IAI were leading indicators ? GS and IAI look like they have topped in early October (C') ! If IAI have bottomed roughly 3 MONTHS prior to the SPY .. why wouldn't it top 3 months prior to SPY ? In that case the SPY could top at (C) in early January 2010 at around $115-$116 ! That would also coincide with the RED SCENARIO leading us to the ultimate top ! Any comments ???
