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7 q+ E1 J5 u# B# y5 V2 m( u原文:
9 F, O( ~4 v' F' n* ?4 G, j' RIMPORTANT POINTS TO REMEMBER IN FORECASTING
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TIME is the most important factor of all, and not until sufficient time has expired does any : k* o6 d: M8 ~& m) ?( b" ~
big move up or down, start. The Time factor will overbalance both Space and Volume. + S3 G1 e; [7 A/ N# G" i
When Time is up, space movement will start and big volume will begin, either up or down.
3 c- N, m7 y2 kAt the end of any big movement – with monthly, weekly, or daily – Time, must be allowed
8 d7 b. Y" Q# X6 t; efor accumulation or distribution.
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; m6 A) s+ }5 B8 M, i& f4 kConsider each individual stock and determine its trend from its position, according to distance 5 ?& J2 B( q' o$ N, j, m% y0 s
in time from bottom or top. Each stock works out its 1, 2, 3, 5, 7, 10, 15, 20, 30, 50 and 60-7 e" k& }+ {3 M8 o6 Y7 [
year cycles from its own base or bottoms and tops, regardless of the movements of other 2 l* I* z" x4 M, V l
stocks, even those in the same group. Therefore, judge each stock individually and keep up * G* ?% M+ D. X& |! Q- Y
weekly and monthly charts on them.* {4 a# R5 G4 C \3 a
8 g1 n2 @ q( Y* D* l: q- BNever decide that the main trend has changed one way or the other without consulting the
X/ [. N& Z2 y5 h! k' m2 s4 Uangles from top or bottom and without considering the position of the market and cycle of
2 u6 j7 e) d& W8 ?# [each individual stock.+ u. V- G D3 V% f
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Always consider the annual forecast and whether the big time limit has run out or not before
0 p8 @% c7 ~( mjudging a reverse move. Do not fail to consider the indications on Time, both from main tops 3 I! G* m8 C9 \: W; \' w/ a
and bottoms, also Volume of Sales and position on Geometrical Angles.5 T; T& x8 T& O. ~
) `3 y# ]7 O, W2 U6 |3 @$ Y& JA daily chart gives the first short change, which may run for 7 to 10 days; the Weekly Chart
, \- [8 |/ y- b/ V& E/ ~1 Hgives the next important change in trend; and the Monthly the strongest. Remember, weekly
$ {+ Q" R# p- W7 rmoves run 3 to 7 weeks, monthly moves 2 to 3 months or more, according to the yearly cycle,
4 t1 W5 m, q. {) mbefore reversing.
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/ D, z' `3 i, l+ ]Yearly bottoms and tops: it is important to know whether a stock is making higher or lower
2 A2 e0 Y. J- ^! ?% obottoms each year. For instance, if a stock has made a higher bottom each year for five years, . F8 l1 w- `* W1 u* g# e/ m0 p. E
then makes a lower bottom than the previous year, it is a sign of reversal and may mark a long
2 j" k. [6 E: ddown cycle. The same rule applies when stocks are making lower tops for a number of years + m4 F' W2 v9 K6 d4 o" y0 a
in a bear market.! c# u! K* w3 ~; N6 d
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When extreme advances or declines occur, the first time the market reverses over 1/4 to 1/2 of - G. D! s# [1 r& l9 k, c
the distance covered in the previous movement, you consider that the trend has changed, at D5 l4 `- @1 I- l ^# z% I( m7 W! w
least temporarily.
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It is important to watch space movements. When Time is running out one way or the other, & L3 l7 a6 q7 y( i
space movements will show a reversal by breaking back over 1/4, 1/3 or 1/2 of the distance of
- V% v; B7 ]8 V7 bthe last move from extreme low to extreme high, which indicates that the main trend has
9 K' w& w5 v3 s+ f7 ~- p* K8 M; y7 pchanged.
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Study all the instructions and rules that I have given you; read them over several times, as
" b. j V1 O7 @4 C n$ ~each time they will become clearer to you. Study the charts and work out the rules in actual 5 S' w, L) I: ]3 @4 l
practice as well as on past performance. In this way, you will make progress and will realize 6 k) w% R9 K, ?, Z& k
and appreciate the value of my Method of Forecasting.! M" ~8 J$ l# U0 W2 h
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