Stocks Fulfilling 40-Year, 11-Year & 2-Year Cycles; On Track for Drop into ~March 23, ’20!
03/07/20 INSIIDE Track Stock Index Update: “Stock Indexes remain negative and have now broken below their Feb. 28 lows – reinforcing analysis that those lows should only hold for 1 – 2 weeks. That further reinforces the Perfect Storm of sell signals generated on Feb. 7 – 14.
From a multi-year perspective, there are three factors that have been powerfully corroborated by the action of March 2020:
— 2-Year Cycle that projected a 2 – 3 week rebound from the late-Jan./early-Feb. low – to be followed by another sharp sell-off into/through the month of March (just as stocks did in Jan. – March 2018).
— 40-Year Cycle that projected a Feb. 12/13 peak followed by an 8 – 10% plunge into late-Feb. and an overall ~20% drop into late-March ’20 (just as stocks did in Jan. – March 1980).
— 11-Year Cycle.
The 2-Year & 40-Year Cycles have been examined and discussed repeatedly throughout 2019 & 2020 and were cited as part of the Perfect Storm of cycles and indicators projecting a mid-Feb. peak and a sharp sell-off into late-Feb. (see Feb. 5 – 15, ’20 Weekly Re-Lays) and ultimately into late-March.
In a different context, the 11-Year Cycle has received a lot of attention since late-2019. That is closely related to the ~11-Year Sunspot Cycle – a cycle that shifted in Dec. 2019 when Solar Cycle 25 began.
As described over the past two decades, that 11-Year Cycle often ushers in seismic spikes, disease cycles, natural anomalies and market turmoil… the combination of multiple bearish (intermediate) cycles and indicators should be respected, until proven otherwise.”
Stocks fulfilling multi-year cycles, multi-month cycles (3 – 6 month DJTA peak in late-Jan.), multi-week cycles (peak in late-Jan. followed by 6 – 8 week drop) and the ultimate late-Jan/early-Feb. Perfect Storm of intermediate sell signals – triggered on Feb. 7 – 14 and projecting an overall plunge into late-March ’20 – when a multi-month bottom is most likely.
These damaging signals reinforce the 40-Year Cycle and 2-Year Cycle outlook for another plunge into March 23, 2020 – the precise time that equities bottomed in 2018 AND 1980.
How Deep Could This Correction Dive?
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.