Are You Prepped for a 20%-50% Decline?

One of the repeating themes of neoclassical technical analysis is that there really is a structure to the market. It was almost two years ago when I underscored that fact with a column titled "Quit worrying about a 1987-style crash." That column was written in response to a fellow contributor's musing which was calling for a market crash (and still is). As I said back then, when prices were some 20% lower than they are now, you shouldn't worry about a crash until it's actually time to do so.