MagicT isn't to do with mushrooms or hot beverage. It is short for "Magic Trough".
There are seventeen market models within my unique TrendSensor Trading System, and MagicT is one of the elite group of seven models I place highest weighting on. It has an uncanny knack of serving up buy signals very early in the strong bounce that usually follows powerful sell-offs that are fueled by fear and panic. In fact, it was designed to identify this exact type of opportunity.
Interested in technical analysis of markets? (skip this paragraph if you're not!) OK, here's the nerdy stuff: MagicT uses time series analysis of price volatility, a statistical analysis of trend duration to identify excessively long trends, and a simple chart pattern to nail the start of a strong rally following panic selling.
Paste the URL below into your browser and you'll be taken to a chart of the DAX Index (Germany) covering 14 years, two bull markets and a bear market. The 16 buy signals are the work of MagicT and you'll see 15 of them are nicely nestled near the bottom of market troughs (low points).
www.trendsensor.com/Charts/DAX-LT-MagicT.png
Aside from that errant first buy signal in 2002, you can see that MagicT really nails the lows of some sharp declines in the DAX.
Unlike the Germany market, many market indexes throw a MagicT buy signal only once every two or three years. Yet right now I can identify 14 market indexes (all within USA and Europe) that are primed to trigger a MagicT buy signal. That's phenomenal! And very bullish. A few of these may not fulfill all the signal requirements within the time frame allowed, but there are ten markets that appear very likely to throw MagicT buy signals within the next week or three. These ten markets are evenly split between Europe and USA:
Yes, when MagicT rides into town in the next few days it should signal a period of blissful trading for all the bulls out there. Enjoy it while you can - it may be the last good rally you see for a long time!
All my trading signal clients will be onto this rare opportunity - and you're invited check out my free 5 week trial offer: get on board before MagicT rides into town!
Murray Nickel.. has sinced written about articles on various topics from . Murray Nickel is a mathematician, statistician, and professional trend trader. He offers a for market indices and index ETFs, spot Fo. Murray Nickel..'s top article . to your Favourites.