However, I am bought by value investing and do not believe that past patterns are a projection of future prices, hence we should all just notice the pattern and take it in as part of a more wholesome analysis when investing.
In the current affairs today, there are mixed views of whether there would be a double dip in the economy as a whole. Some analyst like Richard Koo, who worked in the New York Federal Reserves during the time when Japan was trying to fix its budget deficit in the 1980s, states that the world governments are doing the exact mistakes done by Japan during that time. And others like J.P. Morgan's U.S. chief equities strategist states that there is only a one in three chance of another recession and even if it happens it would be for a short duration.
I believe that the recession would happen as there is still a lot of disagreements between some of the power houses, the way the market has bounced so much so quickly, some fatal mistakes like bailing big banks while letting others like the automotive industry fail and some other factors.
