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THE BRESSERT BLINE OSCILLATOR AND BUY/SELL SIGNALS

The Bressert BLine oscillator generates Buy/Sell Signals that are even more accurate than the Bressert DoubleStoc in identifying cycle tops and bottoms.

Historically, across all markets and time frames, the accuracy of the BLine Buy and Sell Signals in identifying cycle bottoms and tops as they occur is greater than 80%. Better than 8 times out of 10, a BLine Buy/Sell Signal will occur following a cycle bottom/top. For example, in the weekly S&P Index, which has an average 18-week cycle, a completed Buy Signal is 86% accurate in identifying the weekly cycle bottom, implying higher prices into the cycle top, which will most often occur as the oscillator turns down. In the daily chart, which has a 20-day trading cycle, a BLine Mechanical BLine Buy Signal is 84% accurate in that the signal occurs following a cycle bottom, implying a continued up move into the cycle top.

The BLine wiggles less than the DoubleStoc, generating fewer Trading Signals, but the Buy/Sell Signals often occur a bar or two after the DBS10 Signals. The price for greater accuracy of cycle top and bottom identification is entering the market a bar or two later with somewhat increased dollar risk.

The BLine Buy/Sell Signals combine well with the DBS10 Buy/Sell Signals, often confirming a Double Stoc Signal with a BLine Signal, the following bar. A combined BLine/DBS10 Signal often occurs at significant tops and bottoms.

As with the DoubleStoc oscillator, the signals must be traded in the direction of trend, or at anticipated trend reversals.