Sunday, February 28, 2010

Fasten your selt belt

In 2010, we have several major planetary alignments, that only happens every 80 years. The first one starts this week and then another one next week. The Bradley Model's turning dates are based upon certain planetary alignments. The 2010 Bradley Model chart shows, starting around March 1(give or take a couple of weeks), we will see a new trend take shape, that will last through mid August 2010(see above chart). The slope of decline on the chart shows the new trend will be strong and fast. The Bradley Model only predicts the turning points, not the direction. Although the past 3 years have been uncanny accurate in the direction. The markets have been in consolidation since the last Bradley date on November 9, 2009. The summer rally ended in November and started a sideways(consolidation) trend, as the 2009 model predicted. Now, will the markets start a new rip roaring rally or start slip sliding away? We will know by the end of March or sooner. Also interesting is in 2010 the Bradley model hits it's lowest reading in 70 years on August 10th. on the siderograph (see chart below courtesy of Could we retest the 2007 highs soon or a re-test of last years low? There is a lot of gaps in both directions. I think we could see a 300-400 point move in the S&P 500 in the next 6 months, based on the 2010 model. The way I use the Bradley model for trading is, 1) when to look for turning dates, 2) it helps me to stay "in" the new trend, vs fighting it. Last year I knew a big rally would be starting around late winter or early spring, based on the 2009 model. When the markets bottomed last March, I was buying, when most where still shorting. It's all documented here in last years archive.