Unveiling the Gann Mass Pressure Index
#162 - Discovering Long-Term Cycles in the Stock Market using Planetary Synodic Cycles
Introduction
Happy New Year! I hope that you all had a great start to the year. As we move forward, I am excited to continue sharing my perspective on the world markets. In particular, I am anticipating that 2024 will be a significant year, as I can see several long-term cycles converging.
During the recent holiday season, I released the Fiorente2 Stock Market Outlook for 2024, which is a 56-page eBook in PDF format. It offers annual forecasts on World Indices, Commodities, Gold, Silver, Oil, Wheat, Treasury Notes, and Crypto Currencies.
This year, I have made significant improvements to the forecasts by creating a fully back-tested Mass Pressure Index that summarizes possible highs and lows throughout 2024. The eBook is still available at a pre-order price for the next two days.
Additionally, premium subscribers on Substack can enjoy a special discount (see the discount button after the paywall)
I spent my holidays conducting research to improve my forecasting models. This took place during Mercury Retrograde, which amplifies my intuition. During this time, I discovered new methods of forecasting by utilizing a set of long-term synodic cycles of planets, which always set the overall stock market trend.
I created a Mass Pressure Index based on planetary synodic cycles rather than on past stock market quotes. This Mass Pressure index is uncorrelated with the actual equity markets and the composite forecast into the future indefinitely. The cycle curve of the future has a structure, a certain curve, that can be found back in the same Mass Pressure index that relates to a period in the past that is going to repeat.
This approach is similar to what Gann did, by looking back to understand the future. In this way, you can search for all the Gann cycles and their harmonics that are likely to occur in the forecast period, as the planetary signatures of the two periods in the future and in the past are similar or highly correlated.
This will prove that Gann's time cycles, as discussed in Gann's Stock Market Course, exist and are actually planetary cycles. Moreover, it will also prove that creating a Mass Pressure Index based on past market quotes from calendar years is usually more wrong than right, except for the 60-year cycle and a few other long-term cycles.
Currently, I am back-testing the overall results, which are excellent. I will include an extra appendix to the recent Stock Market Outlook 2024, in the third week of January 2024, that will at least contain a few bonus forecasts for the SPX, DJIA, and possibly the Nasdaq Composite/Nasdaq 100 based on this improved model.
I've been quite busy lately, and the markets have just started up again. I've created a brief post to introduce a new forecasting method and to provide a forecast for the DJIA based on this improved model. I don't anticipate significant differences for other US indices, such as the S&P 500 or the Nasdaq. I'll return to my weekly standard post regime starting next week.
A warm welcome to our new subscribers! We highly recommend reading our previous posts to catch up.
This analysis is intended for general informational & educational purposes only. Hypothetical or simulated performance based on past cycles has many limitations. Cycles can contract, extend, and invert. Anomalies can occur. Hence, past performance is no guarantee for the future. No advice. Please take a look at our full disclaimer.