Friday, August 12, 2016

September is a key turning point but the Directional Changes are September, November, and January.

The Computer Projects have No Human Bias or Input

Hi Martin:
Thanks for your blog entries and daily market talk. Question: are the arrays independent of the outcomes of the USA election outcome? If they aren’t, what does Socrates forecast with each candidate winning? Thank you.
ANSWER: There is absolutely no human input whatsoever. Everything is within the system. The arrays are not dependent upon politics. That is only one of 72 models captured in the arrays. People jockey because of upcoming elections and the arrays pick that up. Over the years, I have come to understand how the computer even predicted war or the fall of Russia in 1998 no less communism in 1989. There are people who know inside info and begin to move. Back in the 1980s, one of our clients in Beirut was a major bank. They found a ledger in the basement where daily prices had been recorded on the Lebanese pound back into the 1800s. They asked if we could make a model. I said yes and they sent a courier over. We put in the data and the computer came out and said their currency and economy would collapse in 8 days. I thought that forecast was NUTS. But clients paid for what the computer said, not what I personally thought might happen. So I called them thinking there had to be a mistake. They calmly asked me what would be the best currency to move into. I told them the Swiss franc. I thought that was really strange. Exactly 8 days later the war began. Obviously they knew something was about to happen.
The same type of incident happened with the start of the Iran Iraq War. A client called the day before and said that Iran would begin to attack shipping in the Gulf the next day. I was asked what would gold do. By the time 1998 came, I understood what was going on. I had no problem standing up in our London conference and saying Russia would collapse. That of course was the Long-Term Capital Management Crisis.
DJFOR-M 5-30-2016

The arrays are 72 models all independent and the top row is the sum of everything. The Dow Array has been showing September as a key turning point but the Directional Changes are September, November, and January. We see volatility starting in August and it should pick up again in November. Yes, this seems to be picking up in sunc with the elections.

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