Hybrid Lindsay Forecast for a Top Near April 15

By: Ed Carlson | Tue, Apr 14, 2015
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With Friday's breakout from the symmetrical triangle (formed during March and early April) equities should be off to the races and on their way to the triangle's target of 2,175, right? While there is no reason to doubt the breakout or the target, "off to the races" may be too strong of term for now as there is a Hybrid Lindsay forecast for a high near April 15.

The Hybrid Lindsay model is my own combination of the work of George Lindsay together with traditional cycle analysis which enables the forecasting of short-term highs and lows that Lindsay never bothered to address. The Hybrid forecast for a low on March 6-9 was two days early as that low fell on March 11. The Hybrid forecast for a high on March 23 was dead-on and the Dow printed its most recent low on March 26 - two trading days prior to the Hybrid forecast for a low on March 30.

The period surrounding Apr 15 is the next likely high in the Dow. Below is an explanation of how that forecast was developed. It begins with Lindsay's approach of finding confirming forecasts from both the basic and multiple cycles.

Basic Cycle

The high of a small flattened top on 3/24/08 counts 1,289 days to the low of the basic cycle on 10/4/11. 1,289 days later is 4/15/15.

Multiple Cycle

Point E on 1/29/03 of a descending middle section counts 2,228 days to the low of the multiple cycle on 3/6/09. 2,229 days later is Monday, 4/13/15.

222 day interval

The 222 day interval (221-225 days) is important in Lindsay's work. Lindsay discovered that this interval has appeared throughout the entire history of the Dow. Counting from the high on 9/5/14 to Apr 15 is 222 days.

Low-Low-High interval

The lows of 2/2/15 and 3/11/15 are 37 days apart. Counting forward another 37 day interval forecasts a high near Apr 17.

Low-High-High interval

The low on 1/16/15 counts 45 days to the bull market high on 3/2/15. Counting forward another 45 day interval forecasts a high near Apr 16.

 


To get your copy of the April Lindsay Report from SeattleTA, please click here.

 


 

Ed Carlson

Author: Ed Carlson

Ed Carlson
Seattle Technical Advisors.com

Ed Carlson

Ed Carlson, author of George Lindsay and the Art of Technical Analysis, and his new book, George Lindsay's An Aid to Timing is an independent trader, consultant, and Chartered Market Technician (CMT) based in Seattle. Carlson manages the website Seattle Technical Advisors.com, where he publishes daily and weekly commentary. He spent twenty years as a stockbroker and holds an M.B.A. from Wichita State University.

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