Replies to post #24046 on Cycle Trading

[farooq]

I noticed they able to accumulate 27.8 by these minor correction and still kept index on high level. May be in coming couple of years we may see these types of corrections, where as individual stocks may see 20 30% correction. So it could be rotational correction.
Just thinking loud.

[Duma]

This is the graph that goes along with the actual numbers that I posted Monday. If one just stands back and really look at what this chart shows, it is a very nice price progression up. Yes it has minor pb's, but they have been short and recover quickly. They were all one day bottoms.

Going forward I will use 5% as my trigger to start to get worried. This goes hand in hand with the 2008 chart that I posted also. Just let the market ride unless it starts to actually get ugly.

Note how CCI only really dropped below 100 once during 5% PB.