chart: Short Term Cycle Update

The following was posted on January 4,2016
Today's comments are in Blue
CORRECTION dated Jan 17,2016  in Red 

Short term details:(every date is +/-)

From Dec 24th the cycles have an upward bias into December 29th to January 7-14   Dec 29th was another direct hit as a high did come on exactly that date.  There was a bias up into Dec 29 to Jan 7-14 and that is still the cycles forecast.  The traction that the market had into Dec 29th did not continue into Jan 7-14 as the cycles suggested.  The market does not go either straight up or straight down and therefore some counter trend moves do occur in these periods.  The big moves seen on the last days of 2015 and the big down open this morning was much more volatile than the cycles suggested.  Cycles do suggest turning points and direction, but, they are not to be used for amplitude.  This was proven when the cycles chart below suggested a small drop and we actually had a large drop and it kept on going down.  Other tools must always be used including the use of stops on all positions as part of your trading plan.

Below is a pic of the current cycles described above.

The Short Term Cycle dates have been highlighted.   On the way up into the Jan7-14 suggested highs, the cycles did suggest a low on Jan 3rd which was Sunday.  The cycles don't know from weekends and Holidays so a carryover to the next day or a "+/-" interpretation is always prudent.  It is possible that today "MAY" be a short term low.   

The DJIA fell into Jan 4th which was one day after the Sunday Jan 3rd cycle date.  The market then tried to rally, but, made a high on Jan 5th and then continued down into a low on Jan 11th.  The DJIA then tried to rally and made a high on Jan 13th then again resumed it's fall.  As this post is being written the DJIA Futures are down -150.00 points.  If this holds continues on Friday Jan 15th, the possibility for another drop into the next cycle date of Jan 18th - 20th will increase.

Refer to the chart above for a potential future move in the market.

Always use  other indicators to CONFIRM the cycles suggested moves.

Intermediate Cycles suggest  some sort of correction in the first half of this year.  Recent similar intermediate cycles suggested corrections occurred during April 1992 - Oct 1992 & Feb 2004 - Oct 2004.  The new dates are from Jan/Feb 2016 - May/June/July 2016.   This is still the forecast.

More on both the short term and intermediate term cycles as we get through some of these dates...

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This has been posted for Educational Purposes Only.   Do your own work and consult with Professionals before making any investment decisions.  
Past performance is not indicative of future results