#Dow30 - 1929 vers. 2020? Part 2 #US30USD #DJI
A percentage comparison between the stock market crash of 1929/30 and carried over to 2020.
The 1929 DowJones crash took place within 71 days and resulted in a 49.4% price loss. The following rally lasted 155 days until 16 April 1930, when the strong bear market rally was marked by a price gain of over 52%.
The time factor of the upward movement was 2.18 times as long as the downward movement (155 days / 71 days).
The crash of the DowJones 2020 leads to a price drop of approx. 38.5% within 40 days. This is shorter and less strong than in 1929.
However, if the DowJones would also rise by 52%, it would result in a target range of 27,713 points. On a time level with the same length as 1930, the target date would be June 18, 2020.
From the current level, a 10% profit would still possible, provided that both crises were similar in terms of their timing.
The transfer is certainly only a small gimmick, but it should not be forgotten how strong bear market rallies can be. I am not suggesting that the current movement could not be a new bull market.
On the stock market, regular questioning is part of it and the current bad situation can also be viewed positively from another perspective and vice versa.
61.8 retracement would be reached at 25,247.
78.6 retreacement would be reached at 27,159.
It should not be forgotten, however, that at that time there was still a gold-backed monetary system, which was abolished in 1971.
The largest global investment market after bonds is the US stock market. But since many government bonds are likely to default due to the depression, a lot of capital will try to sell bonds and bring them to safety. This could be a possible price driver for US stocks from the DOW Jones and would create a bull market.
Greeting from Hannover
Stefan Bode
The 1929 DowJones crash took place within 71 days and resulted in a 49.4% price loss. The following rally lasted 155 days until 16 April 1930, when the strong bear market rally was marked by a price gain of over 52%.
The time factor of the upward movement was 2.18 times as long as the downward movement (155 days / 71 days).
The crash of the DowJones 2020 leads to a price drop of approx. 38.5% within 40 days. This is shorter and less strong than in 1929.
However, if the DowJones would also rise by 52%, it would result in a target range of 27,713 points. On a time level with the same length as 1930, the target date would be June 18, 2020.
From the current level, a 10% profit would still possible, provided that both crises were similar in terms of their timing.
The transfer is certainly only a small gimmick, but it should not be forgotten how strong bear market rallies can be. I am not suggesting that the current movement could not be a new bull market.
On the stock market, regular questioning is part of it and the current bad situation can also be viewed positively from another perspective and vice versa.
61.8 retracement would be reached at 25,247.
78.6 retreacement would be reached at 27,159.
It should not be forgotten, however, that at that time there was still a gold-backed monetary system, which was abolished in 1971.
The largest global investment market after bonds is the US stock market. But since many government bonds are likely to default due to the depression, a lot of capital will try to sell bonds and bring them to safety. This could be a possible price driver for US stocks from the DOW Jones and would create a bull market.
Greeting from Hannover
Stefan Bode
t.me/stefan_bode_analysen
Zins oder Dividende? Aktien oder Anleihen? Was sind Wandeloptionsanleihen?
Immobilien oder Rohstoffe?
Rinderfarm in Südamerika.
Geld richtig investieren!
www.fondslounge.de
Zins oder Dividende? Aktien oder Anleihen? Was sind Wandeloptionsanleihen?
Immobilien oder Rohstoffe?
Rinderfarm in Südamerika.
Geld richtig investieren!
www.fondslounge.de
