time and price, page-10

Rob, I think you are onto something there! You mention SPI, what about SKI? SKI is mainly for gold prediction. But I guess that is driven by the $US, etc. However, there is more than just the 95 day cycle involved. Read on...

The SKI system is a unique mathematical system that analyses the interaction of price and time. The system's base is composed of three indices: the 16-20 day index, the 35-39 day index, and the 92-96 day index.

These indices are computed by comparing the current day's price to each of the index five back prices. For example, looking at the 92-96 index, the current price is compared to prices from 96, 95, 94, 93, and 92 trading days earlier

The indices are NOT moving averages; moving averages change slowly whereas the specific back-price comparisons can and do change dramatically in a day. When an index changes sign (i.e., from positive to negative or from negative to positive) a signal is generated to be executed for the CLOSE OF THE FOLLOWING DAY.

The 35-39 and 92-96 indices were discovered by searching for indices which maximized profits when one bought as current prices rose over the back prices (i.e., the index sign changes from negative to positive) and vice versa. For example, when current prices rise over the back 35-39 day prices, this is termed a 35-39 index "buy" signal. The 16-20 index was discovered as the best CONTRARY index. When prices rise over the back 16-20 day prices, this is a "sell" signal."

The SKI system becomes more complex based on patterns of "buy" and "sell" signals. A "path" is established based upon which of the 3 indices is in "control". The index that buys first is in control and on the path. For example, if the 35-39 index generates a buy signal and then prices rise to the 92-96 index signal, the 35-39 index remains in control until it sells or a higher order index (i.e., the 92-96 index) sells.

Bull markets occur when the 92-96 index generates a buy signal that is on the path. Excellent bear market rallies occur when both the 35-39 and the 92-96 are on sells, the market rallies into a 16-20 sell signal, and then falls to a 16-20 index buy signal.

The system works best at marking tops in bear markets and bottoms during bull markets. For example, during a bear market, prices will eventually rise to give 35-39 or 92-96 index "buy" signals which will usually come within a day of marking the top of the rally.

http://www.321gold.com/editorials/kern/kern060407.html
http://www.skigoldstocks.com/about.php