Signal was the very first indicator that I developed for the A.I. model: it used to fire a +/- 1 value at market extremes, marking top and bottoms. I never did touch it again, but in the meantime the model has evolved quite a lot.
The first consequence of the ongoing research on cyclicality has been that I have now a new categorization of the market extremes, so I have different values for each bottom and top bars. Using these different values makes the new Signal now range from -11 to +11, with any value from +0.70 to 11 marking a potential bottom and -0.70 to -11 marking the potential top. As the number rises, the top/bottom should be considered “stronger” and last longer.
As any indicator in the spxbot.com arsenal, the new Signal will be tested ex-ante, meaning that it will be put at work and evaluated as time goes by.
