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Here are our monthly key reversal levels going into April 2014. Remember, these monthly key reversal are only for long term market orientation. Try to invest mainly in the stronger markets (dark green) and take (partial) profits in markets that go to light green. Speculative buying can be done in the markets that switch from…
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Markets continue to act rather weak, despite being in a lunar green period. Especially the Nasdaq, which is now well below its recent peaks already. We have a few more days of lunar green period to go, but later this week we will start an eclipse red period. The red periods preceding a solar eclipse…
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Comments for this week (the key reversal tables are below) : * The Nasdaq has continued its recent weakness and went into declining mode when it closed below its daily key reversal level last Monday. The S&P 500 and the Dow Jones have been stronger and have not dropped below any key levels yet. *…
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There are two types of people. Some people constantly change their theories and beliefs to make them fit reality better, while others try to change reality to make it fit their rather fixed theories and beliefs. In his book The Signal and the Noise: Why So Many Predictions Fail but Some Don’t, Nate Silver describes…
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Comments for this week (the key reversal tables are below) : * Weekly momentum (MoM) is turning down again for the Nasdaq. May have peaked for a while. This is an important signal as the Nasdaq has been one of the strongest markets in the recent months. Wait and see whether MoM can pick up…
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Latest daily key reversal levels: (Legend: Mode : green = bullish, pale green = weak bullish – may have peaked, red = bearish, pink = mildly bearish – may have bottomed | Key: key reversal level | W: weekly mode | %Ch.: blue = profit, orange = loss | for more details about these key…
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The US stock market has been climbing steadily without any serious pullback for more than a year. Some analysts consider this a dangerous sign of complacency, others blame the central bank’s QE policies for this “abnormal” market. Almost all seem to agree that this can only end with a crash. But how unusual is this…
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Comments for this week (the key reversal tables are below) : * DAX, FTSE 100 and Nikkei have closed below their weekly key reversal levels and are now in fully bearish mode. Avoid until we see weekly MoM turning back up for these markets. * The Nasdaq and S&P 500 are quite a bit stronger…
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Stocks reached new record highs last week, right at the end of our lunar green period. That marks the first solid green period in quite a while and suggests that normal lunar cycles are coming back. I think we will see a pullback in the current red period, but probably not as deep as many…
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Comments for this week (the reversal tables are posted below) : * The Nikkei has closed above its weekly key reversal level and is now bullish again. But it could be a fake out move as its weekly MoM remains to the downside, which is suspect. If Nikkei moves above 15500 we can become more…