Contact Us | FAQ | DC Trading Manual | Terms of Use
Home/News     |     What is DC?     |     Services     |     Articles     |     Videos
GAME OVER part II - The cycle of death
Date: 5/January/2022

“Blessed is the one who waits for and reaches the end of the 1,335 days.” Daniel 12:12

Happy year end holidays to everyone and your loved ones. For me Christmas is a time for family, for parents and children and of course to remember the birth of Christ. It’s a time for simplicity, modesty and humility. A time to reflect on the loved ones we lost and the loved ones we gained. And especially a time to be thankful for what we are and what we have.

It’s been a year since I wrote the “Game Over” article. In this article I wrote about the upcoming death cycle in June 2021. This 59 cycle originated from the high after the high in 2015 in the SPX and was a major opportunity to cap the amazing equity bull market we are in. This is the chart that went with it.

The setup surrounding the 2015 market structure was a high followed by a low, then a rally to a lower high and then a decline to a final correction low after which the market started the next bigger move higher. The 59 cycle from the high after the high just gave us a vibration. It was the 59 cycle from the low of that structure that finally gave us a small correction. That correction was followed by an outside reversal back up in October 2021. Only then we could sign off the cycle as being completely done after which we became bullish again.

Danielcode time cycles are very precise. The only down part of them is that we do not know with certainty which cycles give us a correction and which ones are forecasting long term highs or lows. That can be very frustrating as I have shown you this year but that does not negate or dismiss the importance of DC time analysis. June was a big opportunity for the bull market to top on the DC 59 death cycle and it did not take that opportunity. When markets do that the next 59 cycle top setup increases in importance as if the energy in the lost 59 cycle transfers to the next one.

I know this amazing bull market will top at some time. I also know it will top on a Danielcode time cycle. And I know the DC time cycle setup will be subtle. Markets are ruled by the Danielcode and I have seen so many swing highs and lows on DC times cycles that I can mathematically prove the power of DC time. We don’t know which 59 cycle will cap this bull market but through training and experience with these numbers one can recognize the subtleties and have a better understanding which cycles are more important than others.

Bullish until when ...

We became bullish again but also immediately in October we were looking at the next potential setup to end this rising trend. That opportunity is scheduled for late January. The setup in January is most prominent on the 6 day chart with a 59 cycle top coming from a high. This is a genuine death cycle and therefore is the next opportunity to cap this bull market. The cycle has 2 starting points, one coming from the closing high in August 2020 and one coming from the momentum high the DC week after. Therefore we have a 2 week window late January where the 59 cycle hits. The first one runs from 1/17 until 1/24 and the following one from 1/25 until 2/1. Both cycles are equally important. You can find the chart on the next page. Bear in mind this analysis is done on the 6 day chart where each bar is 6 trading days. All of this comes from the Danielcode where a weekly chart is 6 trading days and a monthly chart is 24 trading days.

The closing high and momentum high in September 2020 where the cycles originate from are followed by another lower high followed by a higher low. This is a complex structure just like the one in 2015 on the 24 day chart. One might think we will get a similar outcome where nothing really happens, just a correction. And that is possible but the odds here are against it. This is a valid death cycle setup where I must warn for the top of the bull market late January. Usually when cycles hit they do it early in the starting point. Very often they are also confirmed on other time frames like the 12 day and 24 day chart.

On the 12day chart we also have a 59 cycle top scheduled for late January. It comes from the closing high in April 2019 and runs from 1/21until 2/8 and overlaps nicely with our 6 day chart 59 cycle. You can find the chart on the next page

On the 24 day chart there is a 59 cycle coming from the low after the low in June of 2016. This cycle hits on 1/6 and runs until 2/8 again overlapping with the cycles on the 6 and 12 day chart. All of these cycle coming together is a powerful setup and a major opportunity to end the bull market that started in 2009.

The setup we had in June 2021 was also a powerful one, almost a perfect one. It was a good opportunity lost. I must admit that I liked it even more than this setup coming up in January. The only thing wrong about it was that the DJIA was out of sync with it. For what it’s worth this setup runs similar on the DJIA and the SPX.

But the coming January setup also has something else going for it and that is that it is an exact copy of the setup in 2007 here we had the subprime crisis. Just like then the 6 day chart has a 59 cycle top coming from a high, overlapping with a 59 cycle coming from the closing high on the 12 day chart overlapping with a 59 cycle coming from a low on the 24 day chart. Exact copy paste. I don’t know if that is worth something but it is interesting.

I don’t know what will happen. I do know that this bull market will end sometime and that it will end on a Danielcode time cycle. This January setup is the next very powerful opportunity to do just that. We have to warn for a potential major turn down in equities in the second part of January. Until then we remain bullish. Remember that market turns can be tricky. They fool around, try to trick people into believing it will make higher highs when they all of a sudden bite viciously.

There is off course the chance that we just get a small correction and the market moves higher afterwards. Well if that happens I have got good news for the bulls because after the January setup there is no meaningful 59 cycle top on the 6 day chart for the rest of the year. So we either top in January or this market is likely going higher for the rest of 2022. Imagine that ... So there you have it.

One more warning. It is not our job to become prophets nor do I want to emulate what Isaac Newton described as “the folly of interpreters”. I’m just the messenger here. I read the Danielcode numbers on financial charts. I look at financial markets through Danielcode lenses and try to translate what it is telling in plain English. I encourage you to study this stuff. I promise you, you will be amazed. I know however that most don’t care. We live in an age where many just want to be shown the money. And in case you did not get it, I just did. There is a universal truth we must never forget. Markets are ruled by the Danielcode. Markets move within the boundaries of Danielcode numbers and make turns on Danielcode time cycles. If we want to know what is ahead we have to listen what it is telling us. The only limitation that the Danielcode has in forecasting markets is our ability to decipher it.

“The fear of the Lord is the beginning of wisdom; all those who practice it have a good understanding” Psalm 111:10

Isaac Newton knew that there was major knowledge hidden in the Book of Daniel. He gives us solid warnings.

My best wishes for 2022
Frank De Baere
Happy New Years
Home/News     |     What is DC?     |     Services     |     Articles     |     Videos     |     Trading Reports