Following trends in the markets requires patience to observe the development of what is happening rather than guessing about what will happen. For years we have referred to Japan as an example of an economy that is deleveraging with government attempts to change economic reality. The U.S.A. is in the early stages of a deleveraging cycle with the government trying to change reality. The markets are schizophrenic reacting to rapidly changing stories about current events.
It is normal for the market to have some choppiness in prices. That is the give and take between buyers and sellers. Recently, the greater awareness of the European problems has been disruptive for investors as sustainable trends have not developed. This is illustrated in the following chart:
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