The next turn or acceleration risk window surrounded by numerous risk cycle turns appears to be Monday January 25th. There are three cycle turns on Tuesday and Wednesday of this week, but they appear to be just part of the large cloud of risk cycle turns that surrounded the Friday the 15th of January risk window. Only time will tell if that guess is correct or if a whipsaw is in the making. The system remains in cash. I am in the process of revamping the system to deal with a bear market, more on that soon.
As I noted in a response to another thread, the sentiment figures out in Barron's this weekend were amazingly positive. The Bullish Consensus at 58% and Market Vane Bullish Sentiment at 51% are particularly sanguine given the carnage to date. They are treating this market like it's a Teddy Bear, not a Grizzly that I think it might be.
The Friday the 15th of January risk window appears to me to be important given the number of risk cycle turns surrounding it. If it is not a turn but an acceleration event, I think Katie better bar the door and call the PPT for backup.
Regards,
Douglas
