My comments on using ChartsEdge's Market Maps and Cycle Charts

Just some personal comments I'd like to offer on using the ChartsEdge Market Maps to guide a trader's outlook for the intraday action.

First, I like to look generally for the morning trend, which was indicated to be down this morning and that did happen.

Next, I look for whether that trend is indicated to continue all day, or have some contrary movements and if so, approximately what time(s) during the day. Sometimes the trend changes intraday occur "spot on" to the indicated times, other days the timing is a bit different. Sometimes those differences also work into the intraday "highs" and "lows" becoming relatively higher - or lower - than the Market Map indicates. When that happens, it usually indicates an underlying current of more optimistic or pessimistic bias that also informs how the action will go during the afternoon. (Almost as if Salvador Dali got hold of the Market Map and flexed it and then "draped" it to be skewed relatively higher or lower for the afternoon!)

This did again happen today, as the countertrend action started kicking in relatively early and the mid-day action was relatively higher than indicated. This set up the afternoon low to be higher than the "lowest low of day" indicated in the Map, and the late afternoon rally to be to higher levels.

So if you were daytrading, and you got that nice drop early but got caught off-guard by the upward movement happening quicker and more strongly than expected, it also clued you in for the rest of the day, including the ability to ride a nice rally in the afternoon.

Finally, I like to look for how the Market Map seems to "fit" into the weekly cycle chart. Now, I'll grant that sometimes it looks like the weekly has to adjust to the daily, and vice versa. So far for this week, however, one thing is evident - that the weekly cycle chart is consistent with strength showing up today and Tuesday, with things changing into Wednesday. (Not only for equities, but also for gold (basically inversely, at least this week).)

ChartsEdge has occasionally provided explanation and information on their cycle charts and how to use them. I believe that my comments here are consistent with those; and, this helps also explain why I continue to find them amazingly reliable tools informing investment and trading decisions.