Forecast: Another factor is historically low interest rates and relatively lower housing prices

Forecast: Another factor is historically low interest rates and relatively lower housing prices that will eventually have to respond to the increasing demands for housing.

Also, there has been so much bad news for a long time, that statistically-speaking, we are due for some good news. Everyone has been so pessimistic, that it is creating a buying opportunity. You know, when the market is rising, it always rises too far, then adjusts downwards, and when it falls, it falls too far and then adjusts upwards.

Actual: Our Forecast made October 27, 2010 (when DJIA = 11,126.28):

The Dow will flutter around 11,000 for another month, then make a run up to 12,000 in January 2011. (So it seems that we should prepare to start buying into the equities stocks...)

Last update: 04:03 pm PST - 1/24/2011 
DJIA   11,980.52   +108.68 +0.92%