My Roadmap of the VLE is show below. I have not posted this before because nothing pops out as a common time cycle. But now a big cycle may be completing. The first eight wave octet lasted 158 from the 2002 low. Next week is 158 weeks from the end of the first octet. A turn up here would be right on time.
Tags: Market Cycles · Roadmap · Value Line Arithmetic Index (VLE)4 Comments
4 responses so far ↓
Andy,
Do you suggest buying on your predicted date of the market turn or do you wait for confirmation in prices? If you wait for confirmation, what is or was the confirmation signal for this rally?
Fred - Certainly not. Never buy on a cycle turn… unless you put in a stop just below… and then you could be right and lose some before it goes up…
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A cycle turn is a place to watch for a trend change. If you were trading short and the trend changes, you would want to watch your trades closer. Any sign of a turn up would make sense because the trend had changed. It is a helper… but not an indicator.
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If your indicators (whatever they are, everyone watches something different) match the cycle turn then you may have a little more confidence in your indicators. If your indicators turn bullish but the cycle turn is a month away, you may want to be more cautious because maybe you are only trading an oversold bounce.
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Sometimes cycle turns are acceleration in the current direction of the trend. Trading for a change will double your losses. And that is not the point of watching them…
Hi,
I used to experiment a lot with Gann in futures trading. 77 and 49 were important intervals. Sometimes they were spot on when they coincided with other indicators. Do you prefer certain time intervals?
Regards.
Eric - I watch the 1/8 and 1/3 divisions of the 90 day cycle. 11.125, 22.5, 30, 45, 60, 90. Otherwise, I use 1/8 divisions of the actual time cycle of the previous significant range.