what if ?? - xjo thread*** friday, page-2

My geniuses making up the NAAIM Survey put quite a bit of their cash to work this past week so little wonder that this little fourth wave only corrected sideways on the SPX instead of downwards. As mentioned previously, every time my Genius Index gets up to 70 to 80% or higher doesn’t automatically signal a market high but every time we have had an important market high (checked back to 2007) it has been 70 to 80% or higher. This week’s figure went back up to 61.73% from 47.00% the week so they still have quite a bit of ammunition.

So looks like the SPX is in a little fifth wave. Need to watch how it behaves from here as it has already achieved the minimum needed to satisfy such a count. Will it extend – don’t know.

As well - as far back as when I was still preparing my Ramblings, I had suggested that the period around 23rd July (allow some days either side) was a time zone to watch carefully. I had anticipated it would signal a high in the SPX. Time marches on and we are now just peeping over the wall at this time line so will be on watch for something interesting in the market over the next couple of weeks May still be a high on the SPX as I had anticipated but unfortunately these time lines only indicate a period of interest – be it a high or a low.

Been also looking at the Russell 2000. At the beginning of the year I made it my chart of the year and gave it pride of place on my office wall. It has been fabulous and delivered in spades but wondering if it has had it time in the sun and thinking of finding an alternative for the important wall space. I think it will be a commodity. Would love to make it gold but it needs to convince me a bit more before it can get such an elevation.