The ABC Indicator of movements in the S&P 500 (INDEXSP:.INX) has been the most successful of these indicators. In forecasting the short-term direction of the U.S. large-capitalization index on a closing basis, its signals have been right on 94 occasions, or 71.21 percent of the time, and wrong on 38 occasions, or 28.79 percent of the time.
I mention this indicator here and now because I am beginning the first public test of it on J.J.’s Risky Business. The test will encompass 10 signals, starting with the Buy signal flashing this Friday morning. History suggests the indicator will be right between six and eight times and wrong between two and four times. I can’t wait for the results!