Tuesday, June 22, 2010

Prechter's Deadly Bearish Big Picture: The 7-Year Crisis Cycle Explained


The March 2004 issue of The Elliott Wave Theorist postulated a 7-year crisis cycle going back to 1973 and used it to predict another crisis in 2008. Here are the table and the forecast from that issue:

1973: Arab oil embargo, with spillover into 1974 stock market low of wave IV.

1980: peak in the inflation rate; top in gold, silver and mining stocks, interest rate spike, stock-market “massacre” and low of wave 2 (circle).

1987: stock market crash and low of wave 4 (circle).

1994: “Republican Revolution;” suspicion of government due to Waco attack (1993), “black helicopters,” etc.; stock market breaks uptrend line at low.

2001: successful terrorist attack on the World Trade Center; low of wave (3) of 1 (circle) [actually 3 (circle) of a]. (more)

No comments:

Post a Comment