One of the issues that newcomers to Hurst’s Cyclic Principles struggle with the most is that at times markets seem to be showing very little cyclic influence, and they move in a straight line, up, down or flat. Other cyclic theories suggest that cycles come and go, that a cycle […]
David Hickson
171 posts
Hurst’s Principle of Commonality states that different financial markets move with a great deal in common. A result of this is that markets tend to form troughs and peaks at about the same time (sometimes at exactly the same time), even if the magnitude of those troughs or peaks is […]
Cycle dominance is an aspect of the Hurst cyclic model of financial markets that is often dismissed as a small detail on the way towards reaching a final analysis. Identifying the dominant cycle (or dominant cycles, because there can be more than one) is one of the first tasks one […]
As the S&P 500 and Dow Jones Industrial Average reached up to new highs this week (above their respective highs of September 2012) I was struck again by the dichotomy between analysis and trading. As an analyst I look ahead to determine what is coming next, and build a picture […]
Hurst defined two cyclic tools: the FLD (Future Line of Demarcation) and the VTL (Valid Trend Line). The FLD is in my opinion the more reliable of the two when it comes to trading (which is why we created the FLD Trading Strategy), but the VTL can often provide some […]
For the past few weeks I have been presenting two possible analyses for the US markets. The difference between them is simple, but crucial: was the trough in November 2012 a trough of 20-week magnitude (which is my preferred analysis) or was it a trough of the 18-month cycle? The […]
The two weeks encompassing Christmas and New Year are difficult times to trade. It is one of the fundamental concepts of Hurst’s Cyclic Theory that cycles influence the prices of financial markets perpetually: 24 hours a day, 7 days a week, regardless of whether we are trading those markets, or […]
My “nearly-four” year old son has been looking forward to Christmas since about this time last year. When it snowed here two weeks ago he told me confidently that Father Christmas had arrived (although he presumably encountered some reindeer trouble because he failed to deliver any presents). As our snowman […]
As the US markets and Euro bounced up this week I started preparing for the peak of the current 40-day cycle to form. The identification of peaks is not an exact science as I’ve mentioned here many times, and so I find myself in a similar situation to the one […]
The FLD Trading Strategy course which started in October has been going really well, with students leading “the challenge” (trading demo accounts for a prize which goes to a charity of their choice) with a return of up to 4% in the first three weeks of trading their demo accounts. […]