Follow the Signs

If you have been following the posts in this blog for a while you will remember the Long Term Cycle dates of a low in August 2017 and a high in November/December 2017.   As you will see in the following chart, the August low came on time, but, the November/December high was early.
If you go back and review a long term wall chart you will see that most of the time bottoms are more noticeable and quicker to occur  than tops.  Tops seem to take time to rollover.  Big portfolio managers need time to unload large blocks of stock near tops a little at a time.  While at bottoms they come in sometimes with a vengeance and they want to be on the train before it leaves the station.
So, in order to work with the Long Term Cycle dates it is best to follow your charts and indicators.  This has been said here many many times.   When the cycle dates appear, that is a good time to watch the charts for changes in trend.  The following chart is a good example of this.
  

The blue arrow indicates where the shallow August low ended just around the cycle low date and the red arrow indicates where the rally ended after the cycle high date.   ADX is also a very good indicator to use.  If you want to find out more about the ADX indicator, goto StockCharts.com where they have a free school of definitions, explanations and formulas.

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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.