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Strategies & Market Trends : Stock Attack II - A Complete Analysis

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To: Henry J Costanzo who wrote (22179)10/19/2001 5:44:33 PM
From: Paul Shread  Read Replies (3) of 52237
 
Interesting research. Thanks.

First, the direction of the turn in the Bradley chart itself doesn't matter; a turn is a turn, and the market will go whichever way it goes near that date.

I find the Bradleys to be most useful when they are in strong trends. Here's a few dates: geobrad on 1/26, as you pointed out; heliobrad on 4/4, as you noted; geobrad on 4/9 was a big follow-through day to 4/4; geobrad on 8/5 was just about the time the market began to price in a slowing economy (Fed beige book). Dow went down on 8/6 (a Monday) and never hit that level again.

Look for the strong trends in the Bradley, the periods where the chart goes from one extreme to the other. For the geo, there have been two this year: 1/26-4/9; and 8/5-11/11. For the helio, 4/4-4/27 was a strong period; 4/27-7/18 (not sure about that one; have seen other charts that showed it going nowhere); and 7/18-10/22. Also, I believe the Bradleys were in strong trends from late August to early January last year, if I remember correctly.

I use it as one piece of information that can help identify a strong trend, and I've found it useful for that.
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