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Watch for Cyclicals bottoming for sign of new up cycle

You have to be impressed by the persuasive power of price movement on sentiment and headlines. I’m obviously just a bit biased, but the sudden reversal from bearish to bullish headlines only reinforces the importance of including technical analysis in one’s investment process. Why? Well, despite the short-term wiggles that have developed through the summer, the longer-term technical backdrop has served as a very helpful steadying perspective through all the headline noise.

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