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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: Moominoid who wrote (34422)	11/26/1998 8:20:00 PM
From: Vitas	Read Replies (1) \| Respond to of 94695

Hi David, most do, but nobody says they all do. The best we can do is look for as many clues as possible in one direction or the other. The following are strong clues that the bottom is in place: --------------------------------------------- "The Russell 2000 small-cap index is up 26.7% from its 12-month low on Oct. 8, through Wednesday. That's the biggest 20-day increase since the inception of the Russell index in 1979, says the Tacoma, Wash.-based Frank Russell Company. The previous record was 23% in January 1991. That spike began a record-setting year for the Russell in which the benchmark gained 46.1% during the calendar year. Mutual funds invested in small companies in 1991 averaged a whopping 51.8%." --------------------------------- McCLELLAN SUMMATION INDEX The Summation Index is a long-term indicator which oscillates in relation to a Zero Line. The normal range of movement is between Zero and +2000. Movement below the Zero Line is considered bearish, while movement above +2000 is considered bullish. Historical extremes are approximately +4000 and -2000. __________________ In the summation, we made a bottom under -2000, a characteristic of a 4 year bear/cyclical correction, and now we are above 2000, the level considered to be clear sailing. Now there is nothing finite about exactly the number 2000, but any further strength should be definitive of bull market action. Vitas