Countertrend Reaction v Reaction

NIKCRASH

QUESTION: You seem to be the only person who distinguishes between a “countertrend reaction” and a “reaction”. Can you illustrate the difference?

ANSWER: Reactions are typically 2 to 3 units of time regardless of the level be it daily up to yearly. They are part of the “trend” and normally count as part of the trend cyclically. A Countertrend Reaction is a move that exceeds 3 units of time. This is normally a change cyclically speaking and thus is a separate cycle altogether. This can be easily illustrated by the 1989 Crash in Japan. The decline conformed to our Pi Cycle of 31.4 weeks plus the 8 week Countertrend Reaction.

Advertisements

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s