Archive for January, 2012
January 2012 Forecasts – Jiggles
Our January S&P100 and NASDAQ100 newsletters just went out with the charts of the best stocks to trade for the month, and the ones to stay away from. Here are our two charts with our famous orange forecasts for January. As you can see, expect jiggles ahead.
Remember, the charts do not reflect a proper scale UNTIL we get the first prices of 2012 coming in. Then we start with a zero y-axis. So while it looks like we are forecasting higher prices, for we are not. That’s simply the mathematics of appending one seasonal forecast on top of another and projecting it into the next year. What you should be looking at is the PATTERN FOR JANUARY only. As stated, after we switch to 2012 prices, then the charts will just show the anticipated pattern for the year without what looks like the assumptions of much higher prices.
Will prices go up in 2012? We only make adaptive forecasts month by month. Historically the second year in a decade usually increase by slightly over 23%, but who can tell with all the Euro troubles and the worries running around about a bank holiday.
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