SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The Art of Investing -- Ignore unavailable to you. Want to Upgrade?


To: Sun Tzu who wrote (41)9/3/1998 4:17:00 PM
From: GROUND ZERO™  Read Replies (2) | Respond to of 10661
 
Sun,

If you take a look at a very long term DOW chart, you will notice that there is a nine month and four year cycle low that occurs repeatedly. They don't happen like clockwork, the four year cycle could take three to five years. But they are there. The key to spotting them is to observe the advance/decline movement during those times. If you do, you will notice a major divergence occurring at those times between the A/D line and market prices, as it did this time as well. The A/D line failed to exceed its previous highs when the DOW made new all time highs this past July. That high was not a cycle high, but a momentum high. This also happened in 1987, by the way. This forcasts a violent decline in market prices and I did exit at that time, as those on other SI threads know me to have done. The reverse is also true for market bottoms. Review the historic charts and you will see them there as plain as day.

I expect a major bottom late October, just when everyone is convinced the market is in a long term bear decline.

GZ