Some friends and I were discussing Roger Babson earlier today. Several of us have a feeling that the markets may be approaching a critical juncture, and we were wondering how that might express itself, given today’s Fed and government activism as opposed to the more ad hoc to stabilizing markets in Babson’s day.
As you may recall he was an MIT trained engineer who became a famous stock market analyst and financial theorist. I have acknowledged in the past that my own particular style of charting was in part inspired by his approaches to force and resistance. He never really codified his techniques, so they are not all that well understood. But he used them to some great personal advantage. Continue reading