1) "PSYCLE SENSE sm": new:

well, so far, the 11,000 area remains res. on DJIA, v.s.t. puttable again, dig ?, obviously, unusual for us to trade indexes, and so short-term-ly, so watch close/stops....

but, thu. 1st, DJIA 10934 up, OEX 575, 581 ct high, NASD 2269, non, up....and then, as expected, 10,810 , 576, 2250, Mon. 5th....the EWT calls the recent U.S. indexes rally a bear-mkt.-rally, again....and, wed. 7th, DJIA dn s.t. to 10,769, OEX dn to 574, aok....but, rallied again, even with Fed IR raise, DJIA up to 10.920 , OEX 583, NASD to 2,270....perhaps they will again be turned back at resistance up here, ahead....

the SPY/SPX made a minor new recovery high, wed., but i do not expect it to stick, more likely a fobo ?, mostly because i have been seeing worsening newhighs-newlows numbers, i.e., fewer n.h., more n.l., lately, dig ?, not good, usually, esp. after a rally i still think will fail - so many are bullish yearend-early-Jan. seasonal, yes ?, so we want to fade them/that somewhwat, yes ?

even still, note your new longside Gains, in sec. (4) below....you're welcome....shows yet again, the value of Psycle-specific-stks, over trying to employ indexes, yes ? so what else is new....

last, just rec'd. the 12/9/05 issue of Daily Graphs, so note the plethora of new pot. longables and puttables, in sec. (6) and (7) below, just to VIEW charts of, learn from, as usual, etc.

So, as U have seen, for years now, how well one does, often, just taking advantage of the best individual stocks and in rotating industry groups, chart-pattern-technically and sentiment-wise contrarily, mostly on the long side, but never eschewing the put-side, with preset stops and proper diversification - while ignoring or going opposite 95 % of all news, fundamentals, media messages, opinions, indexes/averages comments, from nearly everyone other than me, etc.
By just getting my output herein, alone, at least, U do much better, and save time, by not even having to "seek and process" the massive and ridiculous, often-misleading and/or incorrect, useless-as-D.A.F.P.P. info., anyway....and we also help remove potential emotional decision-making problems for U, B4 they even begin, yes ?

2) "What's Been Said, and What I've Read":

a) Important Industry Group (Rotation) notes:
1) mon. 12 th, Dec. Gold hit 531, but I say aint gonna last, likely, Psycle-sentiment-wise, yes ? will likely be another fobo imho....the EWT acknowledged it has risen above even its upside target....also, am now seeing way too many 'gold, gold, gold, hot, hot, hot' BS headlines/articles/come-ons, aren't U, recently ?, well, U know what THAT likely means in its "PSYCLE sm", yes ?, btw, Silver hit $ 9.05, after bo above its 7.85 previous resistance....notable, gold stocks prices are under-performing the commod ....so, of course, Gold pb to 488 already, by tue. 20th, dig ? ....2) and, as only i seem to have predicted, car gas here fell further to $ 2.09 gal. reg. unl., (hah) from its recent "but, Jim, its guaranteed to hit $ 5.00 gal. soon" BS level @ $ 3.05 high, hah, again....meanwhile, as I predicted recently, cash Crude rallied to over $ 60. s.t., so far....but I still expect a failing rally to put/short, as u know....oh, and, wed. 7th, your govt. ann. an ''unexpected rises in fuel inventories in the US", dgms....

3) i must admit to being quite shocked at CPN common stk., way way dn to 0.33, wow, as the world piles on them....a rare BIG loss for me in their s.t. bonds.... 4) TYX popping to 4.73 %, and TNX up to 4.53 %, watching again.... 5) the EWT says the depr. Grains commods have now setup as expected for higher prices, as i also have suggested recently herein....they are, again, among the only major area not yet up much off their depr. l.t. bases, dig ?, re-read my Booklets....

6) I remind u that I was among the few who suggested that the rallied-till-august-05 European stk. mkts., was likely to pb/fall - and they have fallen, below many of their 8/05 lows, hmmmm...recall/learn, how the 95 % loved them at their 8/05 tops, many bullish-late articles, as usual, right ?,. R U learning the "PSYCLE sm" patterns ? ....7) the EWT anticipates another buying-climax in the BKH, bank stocks, ahead, then a fall, unexpected by the 95 %, so we'll begin to watch for that again.... 8) and Unl. car Gas fell further to $ 219.9 in OC, hah....dn from 3.05 when "jim, gas is going up forever" PSYCLE sm sell-short signal i gave herein, yes ?, take that, all you 95 % unenlightened people.... 9) well, looks like Grains, Wheat, etc., may have been buyable as seemingly only I and the EWT have been suggesting, down here....

10) and Dec. Nat. Gas may have broken down a new ? 11-, and, Unl. auto Gas, to 1.38, hmmmm....I recently paid only 2.19 for unl. car gas, a new pb low, hah.... BUT - Jan. N.G. contract back up to $ 14+, and am watching for pot. double-top ?!, to put/short again....and/but Jan. Unl. Gas rallying already as expected, and is NOT puttable/shortable.... 11) as China-type stocks correct more (see sec. 6 below), expect them to again become depr. buys - likely, as the 'experts' dislike them, dig ?

12) well, yet another PSYCLE-baser i gave out herein near its l.t. low, TOM, is rumored to be a takeover, by 3 firms, no less...already tripled from lows, we shall C, you're welcome.... 13) and cash Sugar commod., has again hit its 'usual v.l.t. resistance/target' I have previously mentioned herein - as usual, just as the 95 % highbuyers/latecomers get real bullish - up from its 5-6- cents lows where, over the past few decades, I have given it out herein long, yes ? ....14) and, a late item, 12/12, evidently, the Commod. Exch. is raising the 'margin req's.' for Gold & Silver, from abnout $ 1,300 to about $ 2,200, hmmmm.... 15) and, tue. 13th, COP bids $ 31-36 B. to takeover BR....as i listed herein recently, might APA, DVN, SWN, UPL, be targets ? , meanwhile, a few big b-firms lowered their rating on COP, go figure ....15) recall, as i mentioned herein back then, via the Doomer NL's (v. slight kudo to them on just this one item, btw), the 'gold-price/crude-oil-price ratio' bottomed in summer '04, around 6+ or so, and is currently around $ 533/62, or almost 9., now....recall, since say 1984, this ratio went from 7-10 on the low side, and 27-33 on its high ratio, hmmmm....of course, only now, over $ 500 gold, have the 'ratio traders who missed so much so far and failed to alert us for years, dgms', have begun to get real bullish on Gold, figuring, a) crude will never fall much, forward, and, b) gold 'has' to rise a lot more, forever, yadda, yadda....of course, as usual, i would ask, again, where were all the bulls when I said Gold had its obvious l.t. base under $ 275 ?, for years back then, and Crude was way down at just over $ 10. bbl. ?, dgms....the pattern rarely changes....

16) gee, the TYX actually shows higher-highs in price (lower-highs in yield), and the TNX shows a pot. double-bottom, back to late 2004, hmmmm....while I am certainly NOT bullish on either, but perhaps the surprise wb for yields to FALL again, ahead, as i have been suggesting, esp., after Bernanke gets in, late Jan., we shall C....as u know, we have been suggesting 'trading the s.t. channel', yes ?, successfully to date, of course.... 17) the Nikkei hit a 5-yr. high of 15,800 or so, as 'the 95 %' and analysts like it a lot now, so watch for - you guessed it from learning my PSYCLE - a correction ahead, yes ?, as the patterns rarely change....fell immed. to 15,100, then 15,600+, we shall C....oh, and EWT mentions too-high 16-yr. bullish sentiment, which i have mentioned lately herein, yes ? , recall, the Nikkei bo > 11,000 as recently as May '05....and, last, as I recenbtly predicted herein, "U.S. investors' purchases of Foreign Equities' highave recently been over $ 10 B./mo., an a.t. record, hmmmm, get ti ?, so one has gotta 'fade' most Intl. equities, yes ?, Psycle-wise....

18) and the Mexican Peso, which I suggested herein a while ago was cheap/low, at 8++ cents, recently almost hit 10.83 cents, you're welcome....just goes to show you, for the umpteenth time herein, that buying low, in something the masses ignore or dislike, often works, as U have been taught for decades by me.... 19) hey, 2 rare possibly-correct stock ideas via thestreet.com, long TRB, and short, SIRI (but he likes XMSR on a pb, go figure, oy), plus he shorts/sells, MWY, RMBS, AKAM, RHAT, CCI.... 20) already, a/o fri. 17th, Nikkei dn to 15,000+, hah ....21) and, you're welcome yet again, as the Drug/Pharm. stks rallying, as seemingly only I suggested longside, a l. while ago at lows, herein, yes ?, the 'blame' it on court ruling favoring PFE (dgms), but WE know differently, yes ? next.... 22) and, notice, at least a/o Mon. 19th, just as the 95 % got a l. bullish again on Crude, at $ 61. recenrtly, it pb anew to 57+, dgms....the pattern rarely changes....

23) while Sugar commod., which as U know, I have been specifically been giving out longside herein at,multiple every-few-years lows around 5 cents, is now over 14 cents, and the 95 % are too bullish, as usual in the PSYCLE sm pattern, both the EWT and I, expect a big l.t. decline again/anew, forward....we shall C.... 24) and speaking of commods, I am adding the CRB index itself, s.t. only with close stop above, as pot. short/put, around recent 335 high, for a decent normal pb.... 25) again, with Platinum way up, copper, gold, etc., recall I alone had meitoned still-depressed Palladium as a "PSYCLE sm" alternative, near 160 or so, recall ?, well, very recently it has quietly rallied to over 220, you're welcome....totally Unreported anywhere - yet....

26) well, thu. 22nd, the Mar. t-bond is ctbo above Nov. pop high when/if > 113 5/8, would again, IMHO, mean a recession in USA ahead, and NO longer 'much higher IR's", dig ? we shall C.... 270 and, am I the only one noticing new recovery highs in some Airline stocks, CAL, AMR, our JBLU herein ? ...."But, Jim, Airlines are bakrupt, and can/will never rise, even off the PSYCLE sm lows U suggested a while ago herein", yeah, right, as the Pattern rarely changes, ay ?....

b) more, misleading, sensationalized, Late, and/or improper/incorrect comments from the Financial Media, Reporters, Politicians, Your Govt., etc.:
1) I often like their output, but recent Dr. W. Douglas HSI health NL, foresees a 'death knell' for MRK, due to more drugs coming off patent next 5 yrs., even more profit erosion, and lawsuits, not just Vioxx....stock-price-wise, I gave it out herein, from 25+ to 30+, you're welcome, and I still see/saw a l.t. double-bottom when/if it falls to there again, dig ?, fade all 'death-of-most-all-companies' items, right ?, re-read my Booklets.... 2) well, as I was among the few to have predicted in 2004 when they started, the Fed raised I.R.s for the 13th time, 4.25 FF, 7.25 PR, so, as Greenspan did B4, I figure this should be about 'it' on the upside for IR's....esp. when 'the 95 %' expect more IR rises, dig ? ....3) well, your govt.'s mo. trade deficit rose like 40 %, to over $ 80 B, in 11/05, hmmmm....which, since I did not expect/predict it, I admit is a shock 2 me, if true....as usual, the Doomers jumped on this as more signs of the apocalypse....oh, and i guess I should again mention, as un-PC as it is, the cost of 'rebuilding N.O. > Katrina', at $ 200 B+ ?, is 2x the recently-enacted -$ 100. B. in tax-cuts' your Confress just approved....

4) and, once again, Greenspan stupidly raised rates another 0.25 %, - and, the mkts. did not collapse - interesting, since, most 10-yr./30-yr. IR's remain LOWER today, than when your Fed began raising IR's, 13 quarters ago !, surprise....will the 95 % ever learn ?, doubtful.... 5) and, hey, your govt. just ann. that the CPI. actually FELL -0.6 % from 10/05 to 11/05, hmmmm, citing lower energy prices, etc., this might be the biggest one-mo. drop since 1949 they said ?, whatever, still proves my assumptions....and that IR's are likely to rise LESS, forward, due to imminent USA recession, IMHO.... 6) TDR/TRA NL said that Fporeigners bought an a.t. record of $ 107 B. more of USA stocks equities in 10/05, which, fading their perma-doomness, is kinda neat, I say....

c) more incorrect/misleading/sensationalized, and/or improper comments, from Fundamentalists/Companies, newspapers/magazines, etc., vs. illogical/Contrary/Unlinkable, past/present/future Economic items, data, and/or stock price moves:
1) saw vg chart going back to 1950, of "US household liabilites, as a % of household assets", and guess what ?, TDR-NL tried to make the current high % of liabs. a 'doomer-negative', as usual, but, that '% of liabs' also rose big-time from 1950 to 1968, before USA had a prolonged econ. contraction, dig ? ....and that ratio has 'only' been rising from y2k to now, for only 5-6 years, so far, dig ?, even tho currently a high 18 % of household liabs are vs. household assets....while in 1950, that % was only 7 %, and in 1980 it was 14 %, but/so current level of 'household liabilities' is not all that high ?, hmmmm....I mean, seriously, this is certainly not a 'good' thing l.t., probably, economically, but it is NOT a huge rise, nor a huge amount % above its y2k level, dig ? - and many company-profits, R.E. prices, and commod. prices, are way UP since y2k's 14 % level of liabs. vs. assets, yes ?

2) flw: the pres. of NEM, the world's biggest gold producer ?, only now, suggests cash Gold goes to $ 1,000 - interesting, since, as I have reported herein previously, when that has occured in the past, gold-companies'-execs have been historically INcorrect in their future nig price predictions, dig ?, so we will assume he will NOT be correct (re-read my Booklets).... 3) read recently (a bit late, as usual, dgms), in Barrons, that, while the analysts all have been loving the Steel stks (dgms, re-read my Booklets), still, one smart analyst suggests, with India, China, Brazil adding so much steel-making plants/capacity, we may even begin to tip the demand-supply equation to more OVER-supply, ahead, as Steel prices actually fall, soon, as i predicted from recent highs, herein....well, duh...."gee, Jim, looks like economics and capitalism work again, as usual"....

4) and, noting that, while cash Gold price up, 'gold stock co. prices' are not rising, hmmmm....again, the idiots wonder why, but we know, since I have taught this for decades via my concepts - the stocks move, 1st, leading the metal, historically, period....what 'the 95%'s questioning' will do, as usual in its "PSYCLE sm", is, cause the latecomers/high-buyers to beegin to buy/hold already-way-up Gold stocks, as they fall, while planning on them 'catching up with' cash gold's most recent rise, dig ?, re-read my Booklets....watch for Gold to fall, and 'catch up with their stocks' price NON-rises', instead, got that ?, R U learning the patterns ?, hope so....

5) and, finally, formally, TOL & HOV, ann. reduced future expectations and softening in the housing mkt. - well, duh.... 6) and, again, dgms, recent new headlines of, "DVD's lose their shine, as still-newer DVR video technologies emerge", are again going to mess-up the entertainment/music biz, yuck.... 7) did U know that New Zealand's debt rating of AA+ is among the higest in the world ?, neither did I.... 8) and, as the boo-birds continue Dooming, did U know that France has been very successful at issuing 50-yr. govt. debt ?, very well received evidently, hmmmm.... 9) and a supposed new law is going to allow Direct-investment into India, of waiting companies like MCD, WMT, MSFT, NKE, hmmmm.... 10) just read in Doomer NLs, that Brazil has 3 yr. govt. bonds, cy 16.5 % - and GM's 6 3/8 % bonds due 5/1/08, ALSO cy 16.5 %, interesting....of course, those NL's prefer Brazil's, so what else is new....

11) and, repeating: the 'yield spread' of 'junk bonds more then t-bonds yields', has now fallen to its lowest 'spread' since Fall 1997....i.e., as i have been teaching for decades, whereas one got 'rewarded with 10-15 % additional yield, by buying 'h.y. bonds' instead of t-bonds, in the 1990's, in Fall '97, and Now, one 'only' receives under 4 % addl. yield, if buying h.y. bonds, over t-bonds, get it ?, yikes...this is NOT good, for the whole h.y. sector, dig ?, which is why i have been continuing to lighten-up in them, with the once-in-my-lifetime exception of CPN recently....of course, what continues to concern me, is that hthere are so few real cheap ANYTHING's, worldwide, to buy....many stocks, bonds, commods, RE, etc., are laready way up in recent years, dig ?, gotta lean the other way in most, dig ?, l.t. anyway....

12) while we normally eschew fundamentals, TDR/TRA doomer NL, says DBD cp./stk. is going to get whacked, as many states sue them for 2000 & 2004 election problems tallying votes....got me on this one....

d) more, likely late, incorrect, and/or misleading, comments, from Brokerage firms, NL writers, Analysts, economists, Money Managers, etc.:
1) well, well, well, we finally got a formal 'pot. gold top', as Adrian 'perma-bull-even-since-$800' Day, only now, rec's AU & DROOY, GFI, OZN, EZA, as gold stock buys long....and the (dgms) Aden sisters now like, RIO, RTP, BHP....gee, how many are already way way up, dig ? ....2) in a real unusual idea, TRA/TDR NL likes "LEV", a depressed-below-$ 20. stk., from 'Levittown' days decades ago kin-of, in the homebuilding ind., which I also kinda like on a pb.... 3) and was recently reminding more of the 95 % (dgms), that, Crude OIl's 1st recent high at $ 55. was - get this - in 10/04 !, and, recently, as i said, with deficits, debt, the middle east, war, hurricanes, china, india, bush, etc. - it was still 'only' $ 57. - I again rest my case, dig ?, so much for 'linking', re-read my Booklets....

3) in their latest ridiculous and wrong and misleading statement, TDR/TRA wrote, "there was a huge stk. mkt. bull in the 80's and 90's, one that has still not corrected"....uh, excuse me ?, I wont even give them the huge drops in techs & bios, etc., 1999+ to 2002++, dgms.... 4) I justread a rare, recent probably-correct 'nat. gas may correct further' article, cited tops (after the fact, though, dgms), in APA, CHK, GMXR, ABP, etc., saying, 'the same pattern has occured in 2001, 02, 03, 04, and so far in late 2005, i.e., NG price actually FALLING after a previous rise, even tho the 95 % were/are bullish/scared about Nat. Gas, dig ?, plus, author wrote that N.G. has pb, even with, as I have mentioned herein, the hurricanes, disruptions, middle-east crap, etc., hah....and still, we have linkda big inventories/storage in the USA....and just also read via www.thestreet.com, that, 'bulls cool on nat. gas, citing higher-than-expected invetories"....so, fading both, we'll probably see a pop 1st, even when/if N.G. corrects below recent Dec. 05 lows, dig ?, but we all see the parabolic highs in Energies, 'nuff said....

5) as i did recently, the EWT also foresees a s.t. bottom in H.Oil & Unl. Gas, after recent pb's, they call it an upward-thrust soon....the Q. will be what happens when/if this I-say-stage-4-or-5 rally/pop ends/fails.... 6) ohmigod, Doug (perma-gold bull, doomer) Casey, now says this current Gold price rise will eclipse its '79-80 rise, %-wise, yikes....well, that's as good a 'fadeable' signal as we have, currently.... 7) and, I was shocked, they are really grasping at straws, TDR's latest ridiculous scare-headline-come-on, "petro-calypse now !", predicts, soon, crude to $ 150. bbl., $ 5.32 gal. at the pump, USA will lose > 2 mm jobs, and, the SPY will fall -28 %, from 1260 to 900 or so, car sales plummet, US economy recession, ....and that "that is just the tip of the iceberg"....he fails to even mention gold nor RE prices nor IR's, dgms....yikes....TDR failed to predict recent Energy pb, yes ?,

e) more general, political, misreported, incorrect, agendized, slanted, items proving why one should probably ignore or go/do the opposite of, 95 % of everything else out there:
1) recent EWT says, when the Fed 1st stsarted reporting ''USA home equity loans vol.", in 7/97, USA H.E.Loans totalled around $ 100 B - they now total around $ 450 B ? well, gee, domestic RE has also more than doubled in value since then, also, dig ? ....EWT & TDR both see this as super-neg. forward, but, again, I say, against a TMV of around $ 9 T., that is certainly not much, dig ?, plus, no finl institution ever lends anyone more than say 75-80 % of assumed equity, right ?, so banks, etc., have a 20 % 'cushion', yes ?, at least for now....so, as yet anyway, we are NOt close to imploding, economically.....we shall C....

2) I just read new study supposedly showing a disproportionate %/# of fast-food places near schools, nationwide....I say, well, duh....some areas propose ''fast-food-free zones"....good, when & if....I still say, better education from parents (duh) would solve much, yes ? , but continues 2 B 2 much 2 expect, ay ?, yikes.... 3) and, I just read in perma-doomer NL, TRA, that evidently, ''Iran is going to begin trading oil in non-US dollars/money in 2006'' ?, I wonder what hat means ?, not in Euros either ? I also wonder in WHAT currency they WILL be 'trading oil' in ? btw, TRA also fears Bernanke sucks as well, as does their buddy Jim Rogers (dgms), who expects 'one upspike in US dollar, then down below 2004 lows....I (rogers) am extremely bearish on the DXY l.t.'....interestingly (not), they love Gold at $ 500. oz., go figure.... next....

4) read rare int. tome in TDR NL, about how, most fertilizers depend on N. Gas, most protein depends on Soy, and, Soy productionm depends on fertilizers/nitrogen....and how China's demand for those elements is growing.... well, duh.... 5) elsewhere, read where evidently, the Amer. Chem. Soc. (the lgst. scienfitic society around ?), just finished recent study of 'antioxidents-per-serving' of all sorts of foods and bevs, and, 'dates' came out highest (tho the rest of the list was not given, dgms), and, coffee same out pretty high....

6) TDR/TRA doomer NL, just wrote, "foreclosures are up 35 % in Mass., and 2005 was a record year for people having to give up their homes in Colorado"....uh, excuse me ?, exactly what are their spcific numbers/measures from which they, as usual, grasp-at-straws, this time ?, how irresposible....as usual.... 7) supposedly, latest studies say that "corp. execs. except to invest MORE $ into foreign products/companies, at the highest % since 2000.... 8) MER just announced that "consumers pulled $ 160 B. out of their home equity in 2005 so far" - interesting, since their est. is way LOWER than the numbers the Doomer-NL's have been pitching, dig ?, and, NOT a sign of the apocalypse, if so, dig ?, hmmmm.... 9) another sign of t.e.o.t. world ?, as Lenny Dykstra, the ex-not-so-sharp CF for the phillies (dgms) is now - get this - a stock-mkt. columnist w/in 'thestreet.com', yikes....FYI, his recent 'picks' are nothing special, oy....

9) read where evidently, your IRS/system costs $ 200 B/yr. just to administer the tax code, plus, they under-collect another $ 300 B/yr., vs. the 'just' $ 1.3 trillion collected/yr., not very efficient, ay ?, dgms.... 10) and TDR/TRA doomer-Nl's, today, actually wrote, "the number of people in G.B. & Aust. going broke now, is higher than when Britain itself went broke in the 1970's.....there are more houses in G.B. being repossessed than any time in the last 12 years." uh, excuse me ?, exactly what are the figures ?, and from where gotten by him, suposedly ?, anyway, gee, in a "PSYCLE sm" sense, wasn't the mid-1970's when one should have BOUGHT the US & GB, Long ?, dgms....

10) well, finally, FNM formally, just announced their prediction that "home sales will fall -10 % in 2006", so there it is....new ones ? or old ones, too ?, they did not say....nor did they formall predict any 'prices' forward, dgms.... 11) and, just read where, as i expected, "Nov. usa new home sales fell -11.3 % , to 1.24mm from 1.405 mm/yr. rate, and invenories of homes for sale rose +3.3 % to 503,000 , a record, representing about a 5-mo. amt. of inventory....one supposed quote: "Boston sellers are asking sharply reduced prices, as a sudden drop in RE prices has occured"....

So, as you have seen, for years now, how well one does, often, just "doing" the best 'individual' stocks, and rotating Ind. Groups, chart-technically, and sentiment-wise, mostly long-side, while ignoring, or going contrary to, 95 % of all Media messages, and "indexes/averages" comments, from the peanut gallery ? By just getting my output, alone, you do much better, and save time, by not having to even try to "seek, and process" tons of other, useless fundamental info., anyway....and we also help remove potential emotional decision-making problems for you, before they begin....

3) Most recent Hypothetical "PSYCLE sm" transactions, to be mimicked, and referred back to:

Always remember to view "1-year-at-least past" charts of everything you can view, herein, along with their 200 day moving averages (DMA's), to "see/learn" the "PSYCLE patterns", and see where/when stocks in section (3) were Hypothetically bought near lows, and put near highs....all % percentage 'Gains' are just logical ESTIMATES for L.T., ITM options, where they exist, and/or assumed bt. on Margin ("s.o.m."), where no options exist....