Category Archives: Forecasts

SP 500 Cash Index Cycle Location

The S&P 500 cash index traded sideways down for six trading days since the high of 2400 was made.  It then traded higher (took out previous day high) on March 10th, 2017.  That means the daily cycle  bottom low at 2354.54 made on March 9th is confirmed.  So far we are 18 weeks in the weekly cycle and one day into the new daily cycle.  We have finished four daily cycles in the

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It’s Time to be Defensive–Market Internal Rotations

The S&P 500 index has been on a tear.  On a rare down day on last Thursday, February 23, 2017, it was able to close above daily pivot range.  On a gap down day on Friday, February 24, 2017, it was able to completely fill the gap and closed near the all time high.  It is at extreme levels of bullishness and with no ending in sight.  But when we

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$XLE More Down Side

The energy stocks topped on the week of December 16, 2016.  It has not been participating the rally at all.  We recommend our readers to stay away from the sector.  When the economy turns around that will lead to more activities in materials and industrial sectors, in turn it will drive up the demand for energy.  The rise of energy demand

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SP 500 Cash Index Cycle Location

The S&P 500 cash index continues to press higher despite the negative news coverage about the new white house administration.  The value line geometric index broke out a 17-year old triple top on February 13, 2017.  The value line geometric index doesn’t get the headlines like the Dow Jones Industrial average, but it is the true representation of the real US economy.

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Value Line Geometric Index 17-Year Triple Top Blown Away

Today the market blew the gasket that had held down the Value Line Geometric Index for 17 years.  The 17-year old triple top is essentially busted today.  What does this mean?  Are we returning to the crazy boom time like the 90’s from here?  Value line Geometric Index is reflective of the US domestic economy and may well be an

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