Running correlation tests with the rally from Mar 2009 – 2013 to help us to determine how much juice is left in the rally. (more…)
William Gann, Richard Wyckoff, Jesse Livermore and Jim Hurst all believed cycles are present in the market and price action was not always random. W D Gann would determined the vibration(s) of a stock (ie cycle) and then apply Gann Angles to the trend of the vibration to look for trading opportunities. (more…)
The use of correlation has been used in speculation for 100′s of years, no matter if its horse racing, bird racing or the stock market. While it is working it has the speculators attention. (more…)
W D Gann was a master at finding patterns in the past to guide the future.
W D Gann forecasters are following this chart:
Two patterns from the past with a correlation greater than 90% below. The more data in the pattern with a high correlation is more significant than short time frames, simply as they are rare.
…”In the long run commodity prices are governed by one law – the economic law of demand and supply”..
..”If you have trouble imagining a 20% loss in the stock market, you shouldn’t be in stocks”..
John (Jack) Bogle
If crude oil has a dominant cycle, then does this mean world conflict has a cycle? Crude oil cycle watches new an upswing in 2013 was coming soon. We all know the correlation with $100 oil and instant recession that follows in the USA. Well what happens when you have $120 oil and 10 year interest rates higher by 30% at say 3.25%. Consumer squeeze coming. Get the feeling that he commodity bull run is about to start again. Metals, energy and grains have been hitting higher prices recently. This of course means the US Federal Reserve can never stop printing as the US has large bills to pay. (more…)
Clearly there’s a shock wave going on with energy markets and crude oil in particular. The past couple days offer some great examples of how sometimes, there is no such thing as too high or too low. But how does this week’s Syrian conflict oil spike compare to prior conflicts? (more…)
Bill Gross and Jeffrey Gundlach are magnificent bond fund managers, they are known as the bond kings. Recently, both bond kings have suffered large redemptions within their bond funds as losses are realized due to interest rates rising. (more…)