Four Pillars Finance

Chinese astrology cycles for market timing

Archive for February, 2010

Outlook Nasdaq

Posted by Danny on February 18, 2010

Nasdaq

Current level: 2226

Since our December forecast the Nasdaq has reached the 2300 level in January, then dropped back.

Based on our Chinese cycles this correction is not over and we are more likely to see some bottom in April-May, the next upcoming Metal months.

On the chart below you see some major trendlines to watch.
The current upward bounce may last into March, but then I expect new downward pressure. Our initial downside target is around 1900.

Here is our current prediction chart (click for larger image):

Good Luck,  Danny

Advertisements

Posted in Market Commentary | 2 Comments »

Outlook bonds and interest rates

Posted by Danny on February 12, 2010

US 20 year Treasury Bonds (TLT)

Current level: 89.8

Bond prices have not yet produced the upside move we expected.
An attempt to push higher in early February was met with strong selling, and now bonds are heading lower again (= interest rates going up).

We are closing in on a critical juncture on the chart (see below).
A break out above 93 (TLT) would signal the start of our expected move towards 100.
A break down below 88 would probably produce a prolonged sell-off that could last till August-September, our next projected Wood months and bottom period for bond prices.
It can go both ways, and time is slowly running out for this trade to work.
So keep your stop-loss at 88.

Here is our current prediction chart (click for larger image):

Happy trading, Danny

Posted in Market Commentary | Leave a Comment »

US dollar outlook

Posted by Danny on February 8, 2010

Since our previous review of the US dollar, the Euro has continued to weaken, as we expected.

Going forward our cycles for Euro/US $ do not bottom until the upcoming Water months June/July.
So at the current speed of decline this could well turn into a currency crisis.
Look for initial support around the 1.32 level, next 1.24 and then 1.15.

It is too early to look for buying opportunities, given we are nowhere near the bottom of the cycle here.
So we will revisit the Euro/US $ situation when the time is right for it.

Here is our current prediction chart (click for larger image):

Good Luck,  Danny

Posted in Market Commentary | 6 Comments »

 
%d bloggers like this: