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3
Peaks and a Dome
The late George Lindsay discovered this pattern. It is quite detailed,
and when it shows up on the charts, is an excellent map to follow
closely. Mr. Lindsay published a stock advisory letter from 1951-1975.
He was also a member of the "Society for the Investigation of Recurring
events (S.I.R.E.). It is somewhat amusing to realize that such a society
exists, and also, to consider that I probably belong to the same society
by default - given the nature of my own work. The selected articles
of George Lindsay are available from Investors Intelligence in New
Rochelle, NY.
In any event, this is George Lindsay's classical 3 Peaks and a Dome
model of 1910-1912. Lindsay bogged himself down perhaps with an undue
emphasis on time that often becomes nonsensical in real time applications.
There does appear to be a some statistical validity of time symmetry
of points 3-7 to points14-23, but that is about as far as it can be
stretched. In its most simplistic form, there are 23 points that form
from low to high and when the 23rd point finishes, the markets are
supposed to test or exceed the 10th point on the chart. The pattern
can be picked up on in any time frame from intra-day to monthly charts.
My favorite personal discovery of this pattern occurred off the April
4th 2001 low in the Nasdaq futures on the intra-day charts when it
peaked at 1995.00 on April 20th, 2001 two days after a surprise rate
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