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.
Tuesday, February 14, 2012
02-15-2012 outlook and comments
In order to top (and turn down) it seems common sense - money has to quit flowing into stocks and turn down. Can you agree with that? So what is the Money Flow for the SPX telling us? Take a look:
I have tried to update/refine the SPX chart:
It appears to me the 22TD cycle has topped and the Wall cycle (20 week) is at/near a top. I expect we could be into a pullback by the end of the week or early next week. We will see.