Terry Laundry's T Theory Observations

Terry Laundry's T Theory Observations

T Theory Observations Update for March 10 2008 As projected last week the S&P 500 has dropped to the lower green envelope.

Download SRT080307.pdf

Moving on, the updated PDF file above shows the S&P is also approaching the key “Last Low” noted in black on the chart. According to my 40 year cycle work the S&P will break below this potential support level as part of a very long term correction to the 1974 to 2007 bull market period.

During this 33 year up trend, many financial excesses have developed and this long cycle that I have tracked over the last 200 years will require an exceptionally steep correction over the next few years in order to round out the 5th 40 year cycle in the last 200 years of U.S. financial history.

This basically means there should be no trouble in making a 3rd sharp Down Wave that carries the S&P to lower lows. Once this occurs we can start looking to the center post low for the next Short Range T which will begin some sort of recovery, but only after the green Cash Build Up line has matured further.