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The Harmonic Stock Clock uses special indicators developed out of an attempt to follow the intra day market trends. Using these special indicators will keep you ahead of the profit curve.
In my book, The Harmonic Stock Clock, I believe each trading day is a small sliver of the long-term trend. If you are long-term investor, swing trader, or day trader, the reasons of "why" may not be important, but the knowledge of cyclic market behavior can be used to increase your profits.
I have developed a trading system that allows day traders, swing traders, and long term investors to profit by using the stock market’s natural harmonics.
 Notice in the charts below, following my signal lines an investor or trader would go long when prices are trading above the green signal line and exit long positions when prices trade below the green signal lines. This simple plan can be applied to day trading, swing trading , and long term investments to maximize your profits and prevent avoidable losses. I explain the hidden market dynamics of trading and investing. You can use the simple Harmonic Stock Clock in any financial market, currencies, stocks, bonds, futures, and commodities.
WHO SHOULD HAVE THIS BOOK?
Those who need maximum profits, minimum risk, must read this book to capitalize in bull markets and bear markets. For long term investors, my Harmonic Stock Clock will help you protect your hard earned profits before the next bear market begins. Do you have a pension plan, retirement accounts, planing for your children’s education, the next bear market could wipe out those plans. The stock market is being used by the rest of the world as a gambling casino. There are massive infusions of capital from foreign markets, which could be easily manipulated by those who are our enemies. The price of gold is surging because of the coming storm of inflation which will sweep through out the world’s economies. The monetary foundation of the world is created out of printing more money by the Federal Reserve. The bulk of our economy’s wealth is tied up in real estate, which could be on the verge of a major collapse as the baby boomers begin to feel the pinch of inflation and their credit debts. The Federal Reserve calculation for inflation have under estimated the cost to everyone by excluding food and energy cost into their monetary calculations. The next bear market correction could be the biggest one of all. What goes up, must come down, but you can avoid these down drafts by using my Harmonic Stock Clock. After all, it's not how much money you make, but how much money you keep that counts.
Do You Have a Plan for the Next Bear Market?
Look at the chart below, for 18 years the market didn’t go above 1000 points on the Dow Jones Index.
In the beginning we had a depreciating market in the first half of the bear market cycle. The 70’s began with higher energy and food prices, causing a stealth inflation bubble to develop until we ended with high inflation, over 20% a year!
Look Who’s Sounding the Alarm!
Alan Greenspan just said in his speech to National Association for Business Economics on September 27,2005,
'..history cautions that extended periods of low concern about credit risk have invariably been followed by reversal, with an attendant fall in the prices of risky assets. Such developments apparently reflect not only market dynamics but also the all-too-evident alternating and infectious bouts of human euphoria and distress and the instability they engender.'
Alan Greenspan also said in his Speech to American Bankers Association just one day earlier on September 26, 2005
'The apparent froth in housing markets may have spilled over into mortgage markets. The dramatic increase in the prevalence of interest-only loans, as well as the introduction of other, more-exotic forms of adjustable-rate mortgages, are developments that bear close scrutiny. To be sure, these financing vehicles have their appropriate uses. But to the extent that some households may be employing these instruments to purchase a home that would otherwise be unaffordable, their use is adding to the pressures in the marketplace.'
Greenspan issued his strongest warning to date about the coming “Baby Boomers”
Remarks by Chairman Alan Greenspan
Budget policy
To the Federal Reserve Bank of Philadelphia Policy Forum, Philadelphia, Pennsylvania
December 2, 2005
The actuaries' projections of Medicare costs are, perforce, highly provisional. These uncertainties--especially our inability to identify the upper bound of future demands for medical care--suggest significant prudence when considering spending initiatives.
New programs, whether spending or tax benefits, quickly develop constituencies who tend to fiercely resist any curtailment. As a consequence, our ability to rein in deficit-expanding initiatives, should they later prove to have been excessive or misguided, is quite limited. Programs can always be expanded in the future should the resources for them become available, but history has shown that they cannot be easily curtailed if resources later fall short of commitments.
I fear that we may have already committed more physical resources to the baby-boom generation in its retirement years than our economy has the capacity to deliver. If existing promises need to be changed, those changes should be made sooner rather than later.
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How Can The Harmonic Stock Clock Help me with my long term financial goals?
In today’s market place, the majority of shares are traded by institutional investors and hedge funds. To maximize your profits, you have to know at what point in time and price the majority of these shareholders reach an price equilibrium. These hedge funds and institutional investors, like insurance companies, pension fund managers, and investment bankers are using programmed trading with your money. They have been gambling with your investment and retirement money while urging you to become a “buy, hold, and hope” long term investor.
 You can now have complete control over your pension funds and retirement accounts by moving your money to safer investments which appreciate in the face of inflation. The majority of pension funds of the S&P 500 companies are still underfunded. These pension fund will probably will be discontinued in the near future with rising inflation. Some companies have began to taking steps to give you complete control over your pension money, like IBM. These companies are relieving themselves of any future liability law suits that are sure to come with the next bear market correction.
Indexed annuities draw attention from regulators
Fred A. Forbes
“The regulator's interest stems from the methods that are used to market this product, feeling that constant references to "stock market returns without risk" is quite misleading, especially when the method of crediting these accounts is not spelled out. If, indeed, the stock market only averages returns of 6 percent in the coming years, you can be sure that indexed annuities will not pay that much since they do not consider dividends and the variety of crediting methods have a big impact.”
Think your pension funds are safe with annuities? Think again.
Just this weekend, the Headlines are, “The pension fund's financial troubles have roiled San Diego's government and sparked various investigations.
“Fri. Jan 20, 2006 07:51 PM ET
By Marty Graham
SAN DIEGO, Jan 20 (Reuters) - Deals at the root of a nearly $2 billion deficit facing San Diego's employees pension
fund broke state and federal laws, according to a report released by consultants on Friday...
Because the city failed to disclose the fund's growing deficit to bond investors,
the U.S. Securities and Exchange Commission launched a probe. Federal and state criminal probes
into the underfunding have resulted in felony charges against eight pension fund officials. All have entered not guilty pleas.
...Additionally, unfinished city audits have prompted Wall Street to cut San Diego's credit rating to a notch above junk status.”
When Wall Street cuts the credit rating, the bond holders will demand higher interest rates for the perceive risk of bond defaults. Higher interest rates will exacerbate the collapse of pension funds assets.
What If I Am a Long Term Investor?
Absolutely, the financial markets are fractal; each trading day is a smaller portion of the big picture for the long-term investor.
If you are long-term investor, it is imperative that you know two things. First, the long-term trend, since a rising tide lifts all boats, if you are diversified, your portfolio will increase in value. Second, you need to know when the long-term trend is reversing direction. What goes up does go down in the financial markets. If you are nearing retirement or you have a pension fund, or 401(k) plan, it is absolutely imperative that you know if we are in a bull market or bear market. If you we are going into a bear market, the smart move is protection from losses. Meanwhile finding assets that will appreciates when the rest of the stock market is falling. There are EFTs which could offer you both protection in falling markets and appreciation in bear markets. If you loose 25% of your profits, you will need a return of over 33% to break even. If you loose over 80%, you will need a 400% gain just to break even. Now, you are saying to yourself, who would allow their stocks to fall with an 80% loss?
Well, just 5 years ago, the NASDAQ Index was trading at 5000 points, it lost 85% of it’s value!
Today after 5 years, the NASDAQ Index is still down over 50% from it’s highs.
The average inflationary bear market looses 36% in a correction.
Look at the chart below. This was the last secular bear market, lasting 18 years!
What if you knew when to sell at the top of each cycle and then buy at the low points? Your total return would be over 250%, not just 30% return. If you learn how to short the market, your returns would double to over 500%! The sad truth about the “buy and hold” investor is he only earned 30% after waiting over 18 years! In bear markets you cannot “buy and hold” to make money, you have to be an active money manager of your money.
My Harmonic Stock Clock Book will help you identify market direction based on
the secular market theory that markets are cyclical.
Given the choices of bear markets, I would rather have a inflationary bear market, because the cycles are faster than in depreciating bear market.
Look at the next chart below, at the 1930’s depreciating secular bear market.
Whether the Markets go up or down, you can make money by using the Harmonic Stock Cllock Indicators. Looking at the Chart below,
could you make money trading this Stock, despite looking value? The Harmonic Stock Clock can identify when to short in the next bear market .
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