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The Wilshire 5000 is the broadest U.S. stock index, a quality measure of large, medium and small caps all wrapped up into one big bundle. When the great Johnny Carson used to play Carnac the Magnificent, making accurate predictions was his strength.
If we take some of the most emotional turning points (highs and lows) over the past 13-years and create support/resistance lines off of them, they happen to meet at one price point, which is where the Wilshire 5000 finds itself right now.
This chart reflects why Carnac believes the current price of the Wilshire 5000 is very important for this index, which could well impact the S&P 500, Nasdaq 100 and Russell 2000!
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