I'm not sure if anyone has posted this, but this is what he wrote on June 17th in his private blog @ ask-socrates.com:
"The Dow reacted strong back from the brink, but it was not quite strong enough just yet. The Weekly Bullish now stands at 17915 and the Weekly Bearish is 17580 on our minor model. The Daily Bullish Reversal stands at 17900 and the Daily Bearish Reversal lies at 17437.
We do have a Minor Monthly Bearish at 17579 and a June closing beneath 17790 will indicate the market is still positioned neutrally. This is the same number showing up on indicators for the Quarterly timing level. A June closing beneath 17037 will signal a break to retest the support perhaps creating a September low.
To imply a breakout requires a June closing above 18137.50 to hint that we may run into a September high crossing the 20,000 level."
For me the way I interpreted this was to short the market under the assumption that we would either elect those reversals or come very near to electing them (basically viewing them as a target), and hold over the weekend if it looked like the numbers were going to be elected as Friday came to a close. On late Friday afternoon we were still well below his weekly reversal of 17580, so I held UVXY and sold it today over 16$. That's over a 40% profit.
The reason I sold is because I expect the DOW to rise back up to test his Minor Monthly Bearish reversals @ 17579 by Thursday, and because common sense simply tells me that markets tend to consolidate after big swings like that. Holding over the weekend was somewhat risky (I hate holding over the weekend), but according to his 1% rule (which basically says the narrower you elect the reversal by, the stronger the signal) I was relatively safe to assume there would be a little bit more energy pushing the market slightly lower on Monday's opening.
This worked perfectly for me, so I'm really having trouble understanding all the scepticism here. Martin's reversal system seems to work.
except if it keeps going down you miss out on the big run which is the one you want.. better you cut half take 20% and let the rest ride.Quote
"The Dow reacted strong back from the brink, but it was not quite strong enough just yet. The Weekly Bullish now stands at 17915 and the Weekly Bearish is 17580 on our minor model. The Daily Bullish Reversal stands at 17900 and the Daily Bearish Reversal lies at 17437.
We do have a Minor Monthly Bearish at 17579 and a June closing beneath 17790 will indicate the market is still positioned neutrally. This is the same number showing up on indicators for the Quarterly timing level. A June closing beneath 17037 will signal a break to retest the support perhaps creating a September low.
To imply a breakout requires a June closing above 18137.50 to hint that we may run into a September high crossing the 20,000 level."
For me the way I interpreted this was to short the market under the assumption that we would either elect those reversals or come very near to electing them (basically viewing them as a target), and hold over the weekend if it looked like the numbers were going to be elected as Friday came to a close. On late Friday afternoon we were still well below his weekly reversal of 17580, so I held UVXY and sold it today over 16$. That's over a 40% profit.
The reason I sold is because I expect the DOW to rise back up to test his Minor Monthly Bearish reversals @ 17579 by Thursday, and because common sense simply tells me that markets tend to consolidate after big swings like that. Holding over the weekend was somewhat risky (I hate holding over the weekend), but according to his 1% rule (which basically says the narrower you elect the reversal by, the stronger the signal) I was relatively safe to assume there would be a little bit more energy pushing the market slightly lower on Monday's opening.
This worked perfectly for me, so I'm really having trouble understanding all the scepticism here. Martin's reversal system seems to work.