Lessons from Benner's Prophecies: How Historical Cycles Forecast a Potential 2023 Stock Market Low
Prithviraj Radhakrishnan
Helping Layoff & Workplace Toxicity Impacted | Product & Career Coach | SAFe?? POPM | Product Manager at Cognizant | IIT Madras , IIM Lucknow | **Opinions are my Own**
In 1875, Samuel Benner published a book called "Benner's Prophecies of Future Ups and Downs in Prices," which made forecasts on commodity prices for the period between 1876 to 1904. While not all of his forecasts were accurate, many of them were surprisingly close to reality.
The Benner Cycle is a model that Benner developed to predict the ups and downs of the stock market. It consists of three lines: A, B, and C. The A line represents years of market panics, which occur in a 54-year cycle that alternates every 18, 20, and 16 years. The B line represents years of good times and high prices, which alternate every 8, 9, and 10 years. This is the time to sell stocks and other assets. The C line represents years of hard times and low prices, which are the best times to buy stocks and other assets that will increase in value when the market improves. The cycle for pig iron prices follows a 27-year cycle, with lows every 7, 11, and 9 years, and peaks in the order of 8, 9, and 10 years.
Benner's cycle projections have been found to align with the latest analysis of the "Foundation for the Study of Cycles," pointing towards a major stock market low in the US in 2023. David Hickson's Hurst cycle analysis also supports this, projecting a low in March 2023. Martin Armstrong, a renowned economist, has also predicted a low in the market on April 11, 2023.
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The Benner Cycle has been relevant in predicting market trends for many years, and the current analysis suggests that 2023 will be a year of significant changes in the market. Investors who understand the cycle and its impact on the market may be able to make informed decisions on when to buy or sell assets, and potentially benefit from the trends.
However, it is essential to note that the Benner Cycle, like any other market forecasting tool, is not foolproof. The future is inherently unpredictable, and many factors can affect market trends. As such, investors should use the Benner Cycle as a guide rather than a gospel, and always consider other factors such as political events, economic indicators, and company-specific news when making investment decisions.
In conclusion, Samuel Benner's work on the Benner Cycle has had a lasting impact on how investors predict and understand market trends. The analysis of his cycle projections suggests that 2023 will be a year of significant changes in the market, and investors who understand the cycle and its impact on the market may be able to make informed decisions on when to buy or sell assets. However, it is crucial to remember that the future is unpredictable, and investors should always consider multiple factors when making investment decisions.
RF ATE & Bench Test Engineer
11 个月Does anyone know what these numbers 2,3,4,5,6,7,8,9 and 10?
Helping Property Management Companies | Improve Growth, Profitability, and Efficiency
1 年Really appreciate the post. Had never heard of him or the book and decided to check it out. Regardless of how it’s written thanks for sharing.
10+ years Experience |Customer Service Officer | Customer Acquisition Specialist | AirBnB Superhost |Airbnb Guest Communication Specialist
1 年Interesting information. Thank you for sharing
Academic, Researcher, Animal Products Utilisation, Meat Scientist, Food Scientist, Animal Scientist, Administrator, Trivia enthusiast
1 年Seems it influences only Western markets
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1 年Interesting information. The writing, however, is very much "in the style of" GPT3 :)