• Historically, the market reverses its prior direction 85% of the time when the magnetic field indicator exceeds 7 (solid horizontal line on the histogram chart above).
• In the other 15% of cases, the market noticeably accelerates in the same direction.
• Every time the indicator exceeded 7 so far this year, the market reversed direction down to the minute.
• No doubt, The market may give the crowd a good scare this week, but ultimately will turn higher and test 4108 again. 
• This analysis does not negate the bear argument, as the bears are as entrenched as I have seen in my career and they may eventually be right. 
• For the bearish case, we need more confirmation that this “B” wave higher has ended. But if it has, the dreaded “C” wave could already be underway. carry the bear case forward forward in your narrative until we can negate it.
• Our annual forecast called for the market to move higher into late February, correct into March, and go sideways to slightly higher into May. After May, we see a lot of technical pressure reasserting the bearish case.
• Let’s see what happens, but the Navigator Swing Trading Algorithm went to cash (short for aggressive investors) on February 3rd and remains there. I am confident with three algorithms that are wholly Diverse in their approaches; we will stay out of harm’s way and find the low soon enough.
• And don’t forget that war is good for business,  though otherwise reprehensible. And business only benefits if all of us are not blown to smithereens.
• But the black swans are swimming too. Don’t enter the fray without prudent downside protection.

A.F. Thornton