- SUSI has turned bearish with all sectors and most commodities now in bearish territory
- NAT. GAS you want to have on your watchlist for late October !!!
General Remarks:
Susi produces 2 kind of key signals, that are the Exhaustion and the trading signal. Pls bear in mind that exhaustion signal are always mean reversion signals and will lead to failures in case of extreme moves like last fall. Therefore we have our trading SUSI signal that counterbalances the mean reversion nature of the exhaustion signal by being more trend following.
All in all it means you always have to assess the signals in a broader context. We use therefore the GOLDEN 5 Context as a framework.
As of today the GOLDEN 5 leads to a historically overbought and unhealthy and lopsided rally which seems to fade.
FADING doesn't mean DYING!!
The Golden 5 provides only the context but not the timing whereby SUSI offers the timing but not the context. Combining both is clearly an art.
As the earlier post indicated "Time is up" but it could also run into Jan 2009 and still be considered a bear market rally.
....so be careful out there REFLECTIONISTAS
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