Louise Yamada – We Now Have Massive Tops on Global Markets
May 17, 2012
With continued turmoil in global equity markets, gold trading near $1,540 and silver around $27, today King World News interviewed legendary technical analyst, Louise Yamada, of LYA Advisors, to see where she sees stocks, gold, silver, oil and the US dollar headed. Yamada’s service had been correctly bearish stocks at the top. When asked how she knew global markets would take a hit, Louise replied: “Well, first of all, this has been a very slow erosion over a period of one year. We got the long-term ‘sell’ signals on these markets in the spring of 2011. We then had the steep decline in 2011. After the big move off the lows, demand suggested we did not have what it took to take the markets higher, and then we began to see distribution.”
Louise Yamada continues:
“So we have started to see selling into the strength of the rallies, but it’s been a slow process. Now you have many of the support levels that have been broken, and I think you’re looking at many of the global markets forming 3 year head and shoulders tops.
This was the reason we sent out a rare ‘interim tech-alert’ on May 9th to our clients, suggesting further weakness and imminent declines in equities, and advising them to be very risk-averse….