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Charting Global Warming: A Technical View

Posted on May 15, 2009 by Adam

It’s no secret the world is heating up. Of course, some people would have you believe otherwise. As a technician, I thought I could help add some proof of the trend of higher temperatures.

I used historical temperature data to plot a chart of average temperature anomaly, that is, how hot the earth was vs. how hot it should have been.

Average temperature since 1880 plotted with a 20-year moving average.

From this chart, we can see the general trend is upward. More importantly, the chart moved above its 20-year moving average in the late 70’s and have not crossed below since.

If this were a stock, I would look to buy it here.

Upon further analysis, we can draw in a trend line. We’re sitting right at this trendline support. If this were a stock, I’d be betting on higher prices.

This might be a reason to invest in alternative energy!