We pay attention when cycles begin to turn, even when we have no idea why. In the investing game most forecast the continuing extension of the prevailing trend, cycles on stocks (or economic data) is your only chance of determining a change in trend before the crowd.
The above is another reason why this site is a fan of Felx Zulauf
REF: Would you believe a Gold stocks rally is due
The cycle on gold stocks was posted in early Nov 2011, its is now starting to show profits. In our charting arsenal we have many inter market cycle studies to help forewarn changes in asset class behavior. So should you, become a member to do your own studies.
Below is a shameless reprint
We cant find the fundamentals to back this call up and we may be talking a lot of hot air, but the cycles of the XAU (Gold Stocks) to gold are due for a turn up. Cycles to tend to lead and the news does tend to turn up after the majority of the price move, so we must respect the cycle.
Choose only the hottest gold stocks (AUY, RGLD,NEM), watch like a hawk.
Members review the Swing and Alpha scanners to find something you like.
Heres the cycle of XAU divided by GLD (Gold Etf)
More here : Gold cycle review, the next gold swing trade is