Timing Market Turns - Inquiries

I have numerous inquiries at Elite Trader and offline in the past. Offline questions are easy to answer because of the ability to have a conversation, whether by phone or by being with the inquirer at the time.

Many of the posts at Elite Trader were about how to do the timing loci or what the process is all about. The process/algorithms/data massaging is totally proprietary and won't be divulged. But, I would like to help people use this tool if I can.

So, if you have a question, then go ahead and post it here.

For example, a question about what do I mean by " such and such"

Yesterday had full bale of what happens after turning loci hit and a trade is in progress.

What I will do is to collect the questions and answer them in a single post- perhaps on a weekend - use some charts for illustrative purposes. If you give it a go, I will too.

Some readers have asked about books before and I have responded in various posts and also through Elite's Instant Message tool. Books are worth the time you spend. Somebody once said that you are the product of the books you read and the people you know.

So post up your comments or questions, and I'll have a go at them.

Good Trading and God bless

W. B. Busin

Timing Market Turns 01/26/2006 Update 1

Timing Market Turns for 01/26/2006 1500 EST


Market timing for

Traders: towards the close, we are looking for test of support at SPX 1271.

Investors: we are staying long all core holdings. The indexes are significantly above bearish reversal levels, as we posted in yesterday's postings.

Today has been a typical post-breakout day - go make an even higher high than the breakout day, then selloff into a trading range. These usually end with a seemingly strong move in both directions to clear out the unsure and uncommitted.

Good Trading and God bless

W. B. Busin

P. S. Will update if the unusual happens - such as breaking the range on this current spike up near 1500 EST.

Market Timing for 01/26/2006

After midnight here, I saw Europe open and the futures indexes held their ground and then advanced. It looked as though strength had "been proved". I went to bed with the intent of sleeping in, and, I did. It's not market timing related, but it was what I did. :)

Structure here seems slightly 'over the wall'. The SPX and OEX has left an opening gap. I expect an attempt to cover it which means indexes will likely have another range bound day. Some might call it a retest of the breakout. I expect the move upward to continue to at least the SPX 1288 level. We will assess the action along the way.

Today, I have a few brief events to deal with off the www. I will post next at 1430 E.S.T.

Good Trading and God bless

W. B. Busin

Timing Market Turns 01/25/2006 Update Final

Market Timing Update Final - 15:49 E.S.T.

We are standing overnight with stops tightened on the futures. The same limits apply to the indexes as we have had all day. Unless something changes, we will hold until at least tomorrow's open.

Traders might expect to close trades MOC.

Investment perspective would determine any action to take here.

Good trading and God bless

W. B. Busin

Timing Market Turns 01/25/2006 Update 5

Market Timing Update 5 - E.S.T.

lower highs
lower lows

We are close to a strong sell by day's close

Caution is advised

edit at 1338 - will post if we cover or go short

Good trading and God bless

W. B. Busin

Timing Market Turns 01/25/2006 Update 4

Market Timing Update 4 - 1252 E.S.T.

Five minute bar
"Next turn opportunity is 12:45 "
direction down - potential to SPX 1257 then to 1254

If so we will exit our longs at SPX 1257



Good trading and God bless

W. B. Busin

Timing Market Turns 01/25/2006 Update 3

Market Timing Update 3 - 1225 E.S.T.

Five minute bar
Turn due at 1215 is a low - perhaps an upward move

Structure since 1120 seems incomplete

potential to SPX 1268


edited at 1230: Next turn opportunity is 12:45

Good trading and God bless

W. B. Busin

Timing Market Turns 01/25/2006 Update 2

Market Timing Update 2 - 1140 E.S.T.

Five minute bar
Turn due at 1215 - quite bearish if a high



Good trading and God bless

W. B. Busin

Timing Market Turns 01/25/2006 Update 1

Market Timing Update 1 - 10:45 E.S.T.

Trading for 2 days inside a 6-8 point range and then you see 8 points downward in SPX and 9 points downward in the March futures, in 21 minutes! Now what should we expect?

Most of the day will resemble the last 2 days. Why? Perhaps because most investors and traders have resumed their 'dipster' attitudes. It is for that reason that we have set such a challenging 'test' for the markets today. We did not mention that the downward structure looks incomplete also.

We'll be back in here around 1130. It should perform some upside action till then.

Good trading and God bless

W. B. Busin

Timing Market Turns 01/25/2006

Timing Market Turns 01/25/2006

Market Timing

Investors and Traders

For this upward move to have a chance to go further than 3 days, we believe it must get over Dow 10,760 and SPX 1278 on a close today. Then it must hold that level on a closing basis.

Failing that measure will cause us to doubt the strength and potential of this movement in the short term (3-5 days ahead). We will be looking for a prominent sell signal near the closing today if either or both indexes have not met the criteria.

On the downward potential, our key level is now SPX 1257 and Dow 10,600. That is not much of a buffer area, but that is how we are treating this narrow range structure. It’s a proverbial fly or die day.

Update Here
We’ll update later in the morning and perhaps in the afternoon, if the indexes are not performing according to our scenarios.

Good Trading and God bless.

W. B. Busin