Post Election Year Cycle

Up until August, this year's post election year cycle, see at www.seasonalcharts.com, was right on target. Since then the market has diverged from the typical pattern. This occurred in 2008 as well, which helped me anticipate the extent and duration of the selloff. I call this type of occurrence a cycle inversion. Now it appears that the cycle has inverted again. When it normally would be going down, it is going up. If the inversion holds, then the current pullback should end by the end of September and will be followed by a continuation of the rally into late October/early November with perhaps a couple more pullbacks along the way. We would then expect a more serious correction to ensue. The correction would likely bottom in January at the projected end of the 10 month cycle. There is no guarantee that the inversion will hold, but it is something to consider.