Friday, September 10, 2010

S&P500 prediction

There are books saying about the 7 years cycle which say that the market will rise for 7 years and go down for 7 years.
There are rumours saying about recession come every 10 years.
I spotted something pretty interesting quite long ago and wish to share that. It is the 4 years low or 4 years cycle.
Look at the S&P500 chart. Every 4 years it will put in a low. From (those in box)1986, 1990, 1994,1998,2002,2006, now 2010??
It may happen this time in Oct 2010.
Notice that everytime when it hit a low, the market will move up quite strongly.So we may expect a low in Oct 2010,then follow by a upward move. I think S&P500 will move up to 1200 to 1250 by end of this year.
As stock market are in sync, market like Singapore, Indonesia etc may have a similar effect too.