The Presidential Election Cycle

The theory of the stock market "election cycle" holds that stocks tend to perform better late in a presidential term than in the immediate post-election period. The presumed causal dynamic is straightforward. Going into an election, the party in power wants a strong economy; consequently both GDP and stock prices tend to be strong in the last two years of a presidential term. Conversely, it is politically safest to restrain inflation early in a presidential term; if this requires a recession that lasts a year or so, it will set the stage for a nice economic rebound in the second half of the term -- just in time for the next election.

Cosco forms bearish "Symmetrical Continuation Triangle"

A "Symmetrical Continuation Triangle" chart pattern formed on Cosco Corp (Singapore). This bearish signal indicates that the price may fall from the close of 0.88 to the range of 0.42 - 0.52. The pattern formed over 28 days which is roughly the period of time in which the target price range may be achieved.

A Symmetrical Continuation Triangle is considered a bearish signal, indicating that the current downtrend may continue. Prices form a converging pattern as they reach lower highs and higher lows. The technical event occurs when the price breaks out of the triangle formation to close below the lower (ascending) trendline, thereby confirming the pattern.

This bearish pattern can be seen on the following chart and was recognized by Recognia Inc.'t patent pending pattern recognition technology.

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Following is the analyst recommendation

Sembcorp Marine forms bullish "Head and Shoulders Bottom" - 6th Jan 2009

A "Head and Shoulders Bottom" chart pattern formed on Sembcorp Marine. This bullish signal indicates that the price may rise from the close of 1.93 to the range of 2.24 - 2.34. The pattern formed over 35 days which is roughly the period of time in which the target price range may be achieved.

A Head and Shoulders Bottom is considered a bullish signal. It indicates a possible reversal of the current downtrend into a new uptrend. a perfect example of the Head and Shoulders Bottom has three sharp low points, the middle one being lowest, created by three successive reactions in the price of the financial instrument. The technical event occurs when the resistance marked by the "neckline" is broken, thereby confirming the pattern.

This bullish pattern can be seen on the following chart and was recognized by Recognia Inc.'s patent pending pattern recognition technology.

China Hongxing forms BULLISH "Bottom Triangle" chart - 6th Jan 2009

A "Bottom Triangle" chart pattern formed on China Hongxing. This bullish signal indicates that the price may rise from the close of 0.21 to the range of 0.30 - 0.32. The pattern formed over 48 days which is roughly the period of time in which the target price range may be achieved.

A Bottom Triangle/Wedge is considered a bullish signal, marking a possible reversal of the current downtrend. The pattern is formed during a downtrend and shows two trendlines converging. The technical event occurs when the price breaks upward out of the Triangle/Wedge formation and closes above the upper trendline, thereby confirming the pattern.

This bullish pattern can be seen on the following chart and was recognized by Recognia Inc.'s patent pending pattern recognition technology.

Hyflux forms a bearish "Symmetrical Continuation Triangle" as of 30th Dec 2008

A "Symmetrical Continuation Triangle (Bearish)" chart pattern formed on Hyflux Ltd (SGX-ST). This bearish signal indicates that the price may fall from the close of 1.73 to the range of 0.65 - 0.85. The pattern formed over 53 days which is roughly the period of time in which the target price range may be achieved.

A symmetrical Continuation Triangle (Bearish) is considered a bearish signal, indicating that the current downtrend may continue. Prices form a converging pattern as they reach lower highs and higher lows. The technical event occurs when the price breaks out of the triangle formation to close below the lower (ascending) trendline, thereby confirming the pattern.

This bearish pattern can be seen on the following chart and was recognized by Recognia Inc.'s patent pending pattern recognition technology.