Cycles are a tool and should not be used to the exclusion of other tools. There is always the possibility (high probability long term) that the data will be misinterpreted or a relevant fact over looked. So use cycles to check your analysis, not as the only reason to make a decision. Interpretation is the opinion of the author and may be incorrect and should be viewed in that light.
Wednesday, November 3, 2010
11-3 mid week update cycles
Not much has changed since the weekend. Sure we had an election. Sure the Fed announced QE. Yet, not much difference in the market. The 5.5 day cycle (shown in my weekend post) should have bottomed today. The 5.5 week (think 34 days) cycle is still down. The 45 day cycle should have turned up. The 22 day cycle is up.
5.5 day cycle up
22 day cycle up
34 day cycle down
45 day cycle up
So in total for the rest of the week the sum of the short cycles should be up. Combined with longer cycles up we may see some sharp up moves Thu/Fri. Time will tell.