The time is ticking away for World Indices to correct for a medium term correction in a possible longer-term uptrend. Last week we mentioned: "A short-term top in World Indices has likely been set. In last two articles we mentioned we expected a top to be formed around January 18th - January 21st 2011, with the FTSE100 and S&P500 as an example.

There is a high probability (80%) that the expected short-term top has been set yesterday. The volatility and the move downwards is exemplary for a change in trend."

We hold the opinion that this short-term correction will have a very short life, and may already have occurred. At the moment we are consolidating due to the stronger cycles to drive the market upwards,towards the mentioned confluence of cycle to complete in time, while the smaller cycles are trying to correct on the short-term but are weaker. See below example on the S&P500.

The market is not likely to start its medium term correction before mid April - mid May 2011.

There is a confluence of cycles coming together at that point in time that will cause the market likely to correct between 10-20%. It is still unclear of this will be a steep and quick correction or that this will take more than several months. Probable Time Target: mid April to mid May 2011. Likely Price Target: 1358.55 on the S&P500.

Be aware any correction on the short-term as mentioned in our earlier articles of 2011 can still happen between now and Mid February. Take care!

As long as we stay above the lows of July 2010(on S&P500: 1010.91) the market is likely to continue upwards after the mentioned correction of April/May this year. We will publish the most likely dates and targets beyond April-May 2011 for the mid-term forecast to our paid subscribers only.

We will post more analysis as the market develops. We will publish our 2011 roadmap shortly from now for our paid subscribers and we are very busy in preparing the launch of our services so the subscribers to our premium information will then be able to instantly check our latest forecasts on all longterm, medium-term and short-term outlook for many markets once they have been updated. For early adopters there will be a fair discount on the subscription price. Take care and stay tuned.

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