Mikula Forecasting Company

Advanced Market Forecasting

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Horoscope Index: Apple

Here is a discussion of the Horoscope Index using Apple stock, symbol AAPL. This example will use a daily chart. The Horoscope Index is calculated by comparing two horoscopes. This can be setup for a stock such as Apple in more than one way. In this example we are going to compare the incorporation horoscope for the NASDAQ Exchange and the progressed incorporation horoscope for Apple. See the version of this article on the MarketWarrior owner's page for the exact indicator settings used in this example.

When using the Horoscope index we are looking for times when the index makes a large fast move. This is usually identified by a move between the lower and upper boundary that occurs very fact. On the first chart for Apple I have identified such as move in April 2007. The start and end of this fast move represent a time window when we would look for a Change In Trend (CIT). When these fast moves occur it represents a change in the amount of energy affecting Apple stock. On the chart below you can see that just after this large fast move in the Horoscope Index, Apple started a steady upward trend.
HI_AAPL_5.GIF


The second chart for Apple shows another example of a large fast move in the Horoscope Index that moved from the lower boundary to the top boundary in just a few days. This occurred in August 2007. The start and end of this move in the Horoscope Index represent a time window where we would watch for a CIT in Apple. On this chart you can see that just after this time window a strong up swing started in Apple.
HI_AAPL_6.GIF


The next example for Apple shows a large fast down move in the Horoscope Index that occurred in May 2008. The start and end of this move in the Horoscope Index represent a time when the amount of energy in Apple is changing and we would watch for a CIT. You can see on this chart, Apple started a down move during this time window.
HI_AAPL_7.GIF


The next chart for Apple show a large fast drop in the Horoscope Index in October 2008. The start and end of this drop in the Horoscope Index creates a time window for a CIT. You can see on this chart the market fell into this time window and the down trend stopped. The theory as to why this would happen is that the amount of energy affecting Apple stock changed as identified by the large fast move in the Horoscope Index.
HI_AAPL_8.GIF


The final chart for Apple shows the next large fast move in the Horoscope Index. This will occur in late April 2009. The start and end of this drop in the Horoscope Index identifies the time window for a CIT because the amount of energy affecting Apple will be changing at this time.
HI_AAPL_9.GIF