Keystone's Eclipse Indicator

This esoteric signal is very interesting and has not been updated since the April market top was called. The eclipse technique starts with identifying the eclipse dates and note where they cluster. Within that cluster area, markets are prone to large sell offs.  Once a center point is identified for the dates, a time period of one month before that date, and one month after that date are key, as shown by the small red boxes, and overall the entire box creates a zone for a potential large sell off. The market down moves tend to start at the first or second boxes rather inside the larger rectangle rather than the middle area. Typically, if a large sell off occurs from the first small red box, the second box becomes benign. The eclipse window is open right now for October, November and early December. Of key interest is the window from 9/12/13 through 10/10/13 (now) and 11/12/13 through 12/10/13. So far, the SPX has dropped about 40 handles from the peak, from 1730 to 1690-ish, directly in sync with the indicator.

The previous eclipse sell off windows show how reliable and repeatable this indicator is despite its metaphysical basis. The circles show the successful market tops identified by the indicator. Every eclipse box resulted in a significant market pull back. Watch to see if the selling continues currently, if so, a large drop in equities will likely make the 11/12/13 to 12/10/13 window less applicable.  Interestingly, a major Bradley turn date, another esoteric indicator, occurs on 10/8/13 and another major Bradley turn date on 11/3/13.  Bradley turns do not forecast direction, only that a trend change or strong melt-up or melt-down move will occur in equities (large up or large down moving forward).

So the markets sit in the first small red box right now, prime area for a potential significant market sell off which has currently resulted in -40 SPX handles thus far.  The next two weeks will be interesting as well as the next two months. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.