Weekend Update & Picasso Cycle

Picasso Composite Cycle has been very good in 2018.
It suggested:
- January 2018 high,
- June/July 2018 low
- Early October 2018 high
- Late December 2018 low

If you follow @JustSignals on Twitter, you would have seen a post on Dec 23,2018 about going long on the next up day.

Once we are in the window of a Picasso Composite Cycle date, we then look for a change in trend on our charts for confirmation.  When we did that this year the swing trades were very good with nice double digit gains instead of a loss as in the indexes.

There are many ways to play this.
1- At lows:
   a) look for stocks with very good relative strength.  Stocks that did not correct as much as other stocks during the correction.  These stocks "should" be expected to rally better than weaker stocks.  
   b) play the index ETF's, like SPY 1x, SSO 2x, SPXL 3x.  Note that the leveraged ETF's are more risky that the non-leveraged ETF's.

2- At highs:
   a) not interested in shorting stocks, but, one can look for stocks with very weak relative strength.  Stocks that did not rally as much as other stocks during the rally.  These stocks "should" be expected to correct more than stronger stocks. 
 
   b) play the index ETF's, like SH 1x, SDS 2x, SPXU 3x.  Note that the leveraged ETF's are more risky that the non-leveraged ETF's.

What is Picasso suggesting now?
The Cycle is shifting from a high in mid to late March  to now a high around early April +/-.  Always note the "+/-" as there are no guarantees!

This is only a suggested area for a change in trend, so we keep watching our charts for confirmation even when approaching this time period.

Watch for the next Picasso Cycle Composite Date and any further comments on the Picasso Cycle.





This year, 2019, maybe the last year that the Picasso Composite Cycle Dates will be posted and discussed on the Blog. 


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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.