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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Pitera who wrote (2965)	12/7/2000 11:42:15 PM
From: IndexTrader	Read Replies (3) \| Respond to of 33421

John, Here is a recent article from Harmonic Timing. These guys have been very accurate this year. They have some interesting freebie articles (Online Cycle Club) but you have to register. harmonictiming.com What's a stock investor to do? Should you hold onto those stocks you still own, or are prices headed lower? Our cycle analysis "nailed" the recent low. Were you prepared for a low? How long will this rally last? Will it fizzle out in a couple of days, or a couple of weeks? Is it possible for prices to trend higher for several months, similar to what they did between the May 2000 low and the September 2000 high? Read on. We have some interesting information for you. On page 15 of our Stock Market Timing Report 2000-2003 published in October 2000, the turning points of a 6-8 month cycle, Intermediate Term Cycle 1204 are shown. Measured from the March 24, 2000 high in the S&P, the chart shows this cycle was projected to have a turning point on December 1, 2000. It is meaningful the December 1 projected turning point is measured from the March 24 high. March 24 was the high in the NASDAQ and the S&P, but not the Dow. This strongly suggests that the December 1 turning point would be readily observable in the NASDAQ and S&P. With the sharp decline underway during November it was obvious that equity prices were going to make a low. Here is what we said in the November 26th issue of our weekly Trading Report: "Cycle 1204 has been ideally projected to make a low Friday-Monday, Dec. 1-4. The significance of this cycle is that its last turning point was March 24, 2000, the all time high in the S&P and NASDAQ. The bottoming of Cycle 1204 indicates that prices are likely to stage a meaningful rally. The rally on Friday (November 24) is an indication that a bottoming process has started. Equities are near the extreme time projection to complete a low (Fri.-Mon, Dec.1-4.)" "…the Bullish Consensus figures from Market Vane show that this past week S&P traders were as pessimistic as they have been in over a year. This is an indication that equity prices are able to sustain a rally." The November 26 issue of the Trading Report traders contained specific parameters for purchases. Page 4 of the November 15, 2000 issue of Harmonic Timing of Stocks said "Probabilities favor the November 30-December 4 time period as the completion of the current near term weakness. To put it a different way, probabilities favor the current weakness lasting until the turn of the month." This shows how a little cycle analysis can pay handsome dividends. The Harmonic Timing Trading Report and Harmonic Timing of Stocks are two powerful tools that can help guide you through the current scary conditions in the equity markets. How long will the rally last? The same page 15 of our Stock Market Timing Report 2000-2003 shows the 6-8 month Cycle 1204 is projected to have a turning point during the second week of April 2001. The 7-9 month Intermediate Term Cycle 1557 strongly confirms the importance of the second week of April. Measured from the March 24, 2000 high, Cycle 1557 also has a projected turning point the second week of April 2001. Look for an important turning point during April 2001. Will the second week of April 2001 be a high or a low? At this time the probabilities are high April 2001 will be a high. This means there is a strong likelihood equity prices will trend higher into that time frame. Probabilities are high the recent low in the NASDAQ and S&P will not be taken out during the next five months. The chart below is taken directly from page 3 of the November 15 issue of Harmonic Timing of Stocks. This cycle is a shorter version of Cycle 1204 with turning points on average every 3-4 months. Notice this cycle aligns with the important turning points of March 24 and July 28, 2000. The next projected turning point of this cycle is projected for the second week of April 2001. Our confidence in the picture immediately ahead is very high.