Sunday, March 08, 2009

Cramer's Worst Case Dow Analysis Comes Close to Stockerblog's Worst Case

Jim Cramer recently went through each stock in the Dow Jones Industrial Average to determine the lowest price that each of the 30 Dow stocks could trade at and came up with a worst case of 5320. I don't know if Cramer used my Dow Analyzer or not, available at wsnn.com, to come up with the final estimate for a low on the Dow. I didn't get as granular on my analysis of the Dow in my two previous articles: How the Dow Can Drop to 4404 with 23 of the Dow Stocks Not Dropping and If Each Dow Stock Drops by Just 4 Points, the Dow Will Drop to 5848, but if you take the average of the two estimates I came up with, you get an estimate of 5126 for the Dow, within a couple hundred points of Cramer's estimate (which lately has been a typical daily move in the market).

If you want to decide for yourself how low the Dow can go, you can get the Dow Analyzer Excel spreadsheet for free at wallstreetnewsnetwork.com.

By Stockerblog.com

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