How I Discovered Kenison Counting Numbers


By Bruce Kenison

In the next 10 minutes, I'm going to reveal to you what took me over thirty years of intensive eyeball-to-chart research to discover! The road has been long and sometimes bumpy with plenty of unexpected twists and turns along the way. And, guess what? It hasn't ended yet! The more I learn, the more I realize there's more to learn. So, fasten your seatbelt and experience the excitement I felt on this road of discovery. It's truly been a ride to remember!

Let's start at the beginning. I made my first commodity trade in 1968 while still a college student working towards a Master's Degree in Business Finance and Investments. I was fascinated by the leverage you could get on your investment capital by putting up a relatively small margin fee in order to control a much larger quantity of some commodity. This left open the potential for substantial gains. And, by using stop loss points you would have supposedly limited risk. Since I was a cash-strapped student with a relatively small amount to invest, this really appealed to me.

So, one memorable Tuesday afternoon, I skipped gym class and hiked downtown to open my first commodity trading account. I was nervous as a cat. But, I knew it was something I just had to do. The broker was understanding and after about an hour of filling out forms and waiting for an OK from headquarters, I plunked my money down and began what I imagined would be an illustrative career as a professional commodity trader. I just couldn't wait to get started!

Early the next morning, I was chomping at the bit and decided to start off by trading corn futures. Then over the next two weeks, the worst thing that could happen to a beginning trader happened to me. I had three big winning trades in a row! I was convinced I was the King Kong of trading. Frankly, I couldn't figure out why everyone told me trading was so hard to be successful at. Then, as you've probably guessed the fourth trade murdered me. I lost everything I had already made plus $200 more than I even had in my account! So much for the supposedly limited risk. You can guess where the book fund for that quarter went! My trading career appeared over about as fast as air rushing out of a balloon.

I went away from that experience licking my wounds, but absolutely convinced there was an underlying and identifiable pattern or rhythm in the markets. I could sense it. I knew it was there. But, I had no idea what it was. I wrestled with questions of how such a thing could exist. Or more to the point, since I saw evidence of it's actual existence, how could I prove it existed? Even though initially I even questioned my own perceptions, I just knew in my bones it was there! I was determined to do whatever it took to identify it, pick it apart and ultimately find out exactly what made it tick.

It was then I realized that if you could discover any sort of regular or consistent pattern in market movements, you would have the key to successful trading! Why? Because you then could trade in sync with the timing patterns controlling market movement. This was certainly a goal worth devoting a lifetime of research to. And, as it turns out, I have!

I started my search by going to the source which was the markets themselves! I studied charts from every market I could get my hands on. Some charts were constructed from data going back to the start of the Chicago Board of Trade in 1848! I knew that if there was a pattern that repeated itself in the markets, I could find it. That is, I could find it if I was given enough time, effort and stacks of charts to look at.

After night after night of painstaking study, a bit of inspiration arrived from somewhere. I surmised that by simply using daily futures charts where each vertical bar represents a single trading day, I could possibly detect tradable patterns as reversal points occurred in normal ongoing markets. Specifically, I was looking for reversals that tended to happen on the same number counts over and over again when counting bars on a price chart forward in time from any recognizable high or low point in the past.

It was about this time that a fellow trader related to me that W. D. Gann, the world famous market timer, was purported to have said "if you want to know how to time the markets, read the Bible three times!"

I had generally studied the writings of Gann and was frankly never able to get much out of his cryptic and obscure ramblings other than to note his focus on time as opposed to price pattern analysis. Nevertheless, this got me to thinking. Was it in fact possible for specific number counts to spotlight points in time where reversal energy would be demonstrably exposed in the future? My research indicated that was indeed the case with the number counts I had already identified in my relentless search through endless chart examples. But now, this new wrinkle presented itself. Was it possible as some sort of confirming device that these same numbers are also numbers prominently mentioned in the sacred texts?

Since it was my custom to regularly read in the Bible, I decided to keep a notebook handy to jot down specific numbers mentioned in the Bible as I came across them. I had no real expectations one way or the other, but I was looking forward to comparing the numbers my private research was turning up with the numbers prominently mentioned in the Bible.

So what did I find? Actually, it was a head scratching puzzle. What I noticed right away after collecting months of references was that there were an amazing number of near misses. That is, numbers from the Bible were in most cases off by just one number count from the numbers I had already identified through research.

This wasn't the only thing that bothered me. I'd been in a quandary for years over a quotation from Jesus found in Luke 24:46 which said "Thus it is written, and thus it behooved Christ to suffer, and to rise from the dead the third day."

With my persistent mindset, I just couldn't see how Sunday was the third day. It seemed to me that if Christ was crucified on Friday, then Monday should be the third day. It had been a long running and seemingly irreconcilable question in my mind.

Then out of the blue it struck me. To make the biblical order work, you would have to count Friday as day number one! Why this had been so hard for me to see was I suppose understandable. Counting that way was just not how we were taught to count since grade school. Nevertheless, this was a critical breakthrough. I had now learned how God counts!

The next step was obvious. I would use this newly learned counting method on the charts I was studying and see how the number counts compared with what I was doing before. I picked up one of my trusty old charts and started counting days forward from a prominent top reversal point on the chart using the top day as count number one.

Immediately, it jumped off the page at me. By adjusting the number count by just one day to reflect the new counting method, the correlation between Bible numbers and specific number counts I had already collected was now almost perfectly...in sync!

I say almost perfectly because what showed up was a pattern of so called hits where actual reversal days occurring on the chart would tend to hit (1) on the day just before, (2) right on or (3) the day just after the counting number day.

This was heady stuff. Clearly, by using the 40 different and proven counting numbers so painstakingly identified through research and confirmed in most cases by biblical references, I could now exactly pinpoint into the future perfectly defined and extremely powerful 3 day reversal zones. Or, put another way, I could spotlight identifiable timing windows. And, all this on any chart for any market at any time!

It's important to note that the strongest reversal energy always resides in the center day of the 3 day zone or window. I don't know why, but the image of Christ crucified between 2 malefactors came to mind as I worked with this material. And, as it turns out, the idea of a 3 unit zone or window with the most powerful reversal energy focused on the center unit became over time an even more powerful research concept as we shall soon see.

And, here's another curiosity. Apparently, there's no way to determine or foretell whether anticipated reversals will be up or down reversals until you get there. As the market starts to actually trade up or down into the zone or window, then and only then does the market tip it's hand to us.

And, here's the really great part. This happens exactly at the critical moment to do something from a market timing standpoint. That is, just before the market reverses and while concurrently pointing us in the direction the market has just revealed it's going to go! And, only those that know the language of the markets understand what the markets are saying when they speak.

Amazingly, the markets literally hand us top secret timing information at the critical moment for us to use it for positioning trades in the right direction. This is precisely the right time to be totally in sync with the flow of market movement.

Now, here's how it works. If a market is initially trading down into a 3 day reversal zone, then we should expect a reversal of some consequence to occur to the upside during the period of that reversal zone. The anticipated reversal up is then confirmed and a buy signal is generated on any subsequent day that sees a rally above a previous day's high. It couldn't be more simple!

And conversely, if a market initially trades up into a 3 day reversal zone, we should expect a reversal to the downside. The anticipated reversal is then confirmed and a sell signal is generated by any subsequent drop below a previous day's low.

Another major plus is that this strategy automatically generates close-in stops and or stop/reverse points just on the other side of these recently anticipated and confirmed reversals. This cuts our risk to the bone while at the same time maximizing profit potential.

It was at this point that it suddenly occurred to me that what was really happening here in this march of black bars across price charts was the ongoing record in time of an unbelievable projection process. This counting progression appears to be tracking some hitherto unknown energy ripples that radiate forward in time from high and low reversal points in the past.

My research proved this process is indeed ongoing. It's constantly radiating energy off reversal points in the past which consequently projects three day timing windows or reversal zones into the future. This amazing reversal energy generates future reversal points in reliable interval patterns falling precisely on certain specific number counts which I had now painstakingly identified!

But, how could this be? All I could imagine was some kind of mysterious wave energy must be radiating like a beacon off top or bottom reversal points in the past. These waves are continually moving out into the future in varying degrees of intensity, set in irregular yet constant intervals and with enough structured energy to dramatically affect directional turns in any market in exactly the same manner and timing count sequence. And all this, at precisely and objectively projected points in time in the future. Whew!

Sit back for a moment and think about this. The magnitude of this discovery or literal revelation is mind boggling in it's implication and absolutely astounding in it's import! It's almost as if the curtain has been ripped back and we're now privileged to look lingeringly at the fabric of space and time. We are now witness to the framework God employs to organize time and event progressions. Shockingly, it would appear that nothing happens by chance!

Instinctively, I realized this method of market timing could not be called fundamental or technical analysis. It is rather an entirely new and unique method of market timing analysis which I dubbed temporal analysis since it is based on time instead of price. Indeed, I could now see that one of the greatest hallmarks of the newly named Kenison Counting Numbers is the total lack of subjectivity in producing such valuable timing projections.

No guesswork is ever involved. The Kenison Counting Numbers sequence is easy to use and understand. It even appeals to those who have never traded before and need someone to show them the ropes. You don't need a calculator, computer program or any kind of specialized foreknowledge. The signals projected are very precise and completely objective. It's all right there on the chart. Remember, this is purely eyeball to chart analysis. The counting numbers pinpoint exactly where the next reversal energy in the market will be exposed. And correspondingly, you then know exactly where the next projected reversal should be expected. It's that simple. And, where do you get the charts you need? They're free on the internet!

And, here's another thing. Kenison Counting Numbers will never become obsolete. They will continue to work with absolute objectivity for all the years of you or your grandson's trading careers. You will be able to pinpoint exactly within one day of specific future number counts where market reversals of varying degrees of magnitude should appear.

How do we know this? Simply because years of exhaustive historical research has proven that whether you're looking at constructed charts from the last two centuries, the 1970's or last week, the analysis would have worked exactly the same in each era and with exactly the same phenomenal results!

And remember, these are the very same timing count numbers confirmed historically and through study of the scriptures to have proven and very definite reversal energy associated with them. Believe me, after learning the Kenison Counting Numbers market timing method, you will never look at a price chart the same again.

I was also extremely gratified to learn through decades of ongoing research that Kenison Counting Numbers work equally well in projecting future reversal points in any market anywhere in the world, irregardless of whether it's a futures, options, stock, forex or cash market!

So, exactly how do Kenison Counting Numbers work?

This totally unique and extremely powerful method's ability to project important market highs and lows in the future is uncanny. How does it do it? After decades of personal research, I have identified the irregular number sequence the market itself observes. Just count the bars on a price chart forward from any market high or low point in the past and the Kenison Counting Numbers will tell you exactly on which numbers in the sequence you should expect powerful reversal energy to be exposed in the future. And, all this is accomplished with a very high degree of reliability! This allows traders to anticipate, confirm and then act on potentially profitable trading turns that the uninformed don't even see coming or have the slightest idea can be detected in advance!

With this new life long knowledge, you can spend just moments with a price chart and know with total confidence what your course of action should be and with absolute clarity what the potential risks are! There's no need to check with anyone first. You're the expert! Why? Because when you understand this market timing method you'll know with quiet confidence what the market itself is telling you about current trends and potentially explosive turning points and exactly when to expect them! Your broker will start asking you for advice. Believe me, I know!

When you see how by simply counting forward in time you can project important reversal points in the future, you'll be hooked! I've been hooked now for over 30 years and I'm still fascinated on a daily basis as I watch these turns occur like clockwork in timing windows projected weeks and even months before!

Traders can quickly become expert in using all 40 of the unbelievably powerful Kenison Counting Numbers.

One of the most impressive Kenison Counting Numbers is represented by Zone 14, especially when using simple triangulation techniques in combination with other counting numbers to project extremely powerful conjunction and convergence reversal zones. These special amplified reversals lead to extremely dynamic high-velocity directional market moves! Other traders marvel at windfall profits that seem to come out of nowhere. Kenison Counting Numbers is the tool that alerts you beforehand allowing you the opportunity to profit from these explosive market moves!

Traders are amazed to discover the natural and irregular rhythm identified in the markets. It's a rhythm that is constant and traces out exactly the same pattern for all markets worldwide! It's shocking to see how invariably reversals occur on the same number counts in the Kenison Counting Numbers sequence over and over again.

And now another amazing fact concerning the Kenison Counting Numbers method. It works exactly the same no matter what time frame chart you're looking at! As we already know if you apply the counting numbers to a daily chart, you will project daily reversals into the future. But surprisingly, If you also apply it to a weekly chart, you will project weekly reversal points into the future. In fact, the same Kenison Counting Numbers sequence works equally well when applied to monthly, weekly, daily or intra-day charts!

At this point another phenomenal discovery was made. I discovered you could determine the most likely actual future reversal day, week or month within each projected reversal zone by using the Kenison Counting Numbers to count backward in time from each of the three days, weeks or months within each reversal zone. How does this work? Quite simply, when you count backwards in the fashion mentioned above, you will notice that significant high and low points in the past fall exactly on specific number counts in the Kenison Counting Number sequence. But this happens only if you are counting backwards from the most likely actual future day, week or month where the market will in fact reverse! As I witnessed this mirror image or echo effect in action, I realized this is truly a miracle!

This is absolutely astounding when you realize by counting forward or backwards in time that reversal energy is exposed on the same number counts in the Kenison Counting Numbers sequence irregardless of whether you're counting months, weeks, days or 15 minute intervals on an intra-day price chart! Witness this market timing powerhouse in action in real markets in real time and you'll be totally amazed at the magnitude of this discovery. I guarantee it!

Copyright (c) 2006 Bruce Kenison. All rights reserved.
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Bruce Kenison is the founder of several market timing advisory services employing the Kenison Counting Numbers precision market timing method and is the Editor of Bruce Kenison's Market Timing Signals ezine and newsletter available FREE to investors and hedgers. He is also president of a publishing and seminar company that recently published the 5th Edition of Bruce Kenison's Market Timing Home Study Course. For a FREE subscription to the ezine or newsletter and information on products and services, send a blank e-mail with "Subscribe" in the subject line to: [email protected] .

I confess that I didn't read the whole spiel because I have read most of that sort of thing before. Perhaps, if you return here, you can give us seasoned traders a 1 or 2 liner about what this is about? That would be much appreciated...
A google search of a unique phrase in the text shows the article posted at the following locations and times:

commodityforum.com 6/28/06
subsequent questions unanswered

loancookbook.com - article
undated

moneytec.com
11 July 2006 - twice
also cached on Google from 3 June 06 but looks like it was deleted from MoneyTec's forum subsequently
cached version shows doubt about system in replies

5/14/06 on marketwatch.com

mega-articles.com - article
undated

bradynet.com forum
7/9/2006


I was searching because I was trying to find other commentary on this but so far nothing to report.
July 8, 2006
First Market In The Spotlight...U. S. 30 Year Treasury Bonds
Kenison Counting Numbers identified the bearish reaction wave completion
top point exactly. We sold the confirmation of the major reversal down we were
anticipating on June 14. We took a very large profit when our trailing stop loss
point was hit to “buy one September Bonds at 106-01 stop.”
Second Market In The Spotlight…Crude Oil
Bruce Kenison’s Futures Hotline went long August Crude Oil at 6992 on June
20. We were stopped out with a huge profit yesterday when our trailing stop to
“sell one August Crude Oil at 7419 stop” was hit.
Third Market In The Spotlight…Gold
Bruce Kenison’s Futures Hotline is long August Gold from 578.10 on June 15.
We are now moving our trailing stop to “sell one August Gold at 629.40 stop.”
Fourth Market In The Spotlight…S & P 500
Our only other current open position in Bruce Kenison’s Futures Hotline is a
short September S & P at 1276.30 entered yesterday on the key reversal down.
Our entry stop was hit when the market traded below the previous day’s low.
Our initial stop loss point is to “buy one September S & P at 1289.80 stop.”
...does make a nice bedtime story


my basic problem with this is the underlying premise that we as mere mortal's can, using these mysterious and secret numbers, predict the future.

This is the allure passed down through the ages.... that being the ultimate edge in the markets, to know today what the market will do tommorrow. This is the holiest of holy grail's.

Do I believe these secret numbers can predict the future... NO !

Do I believe anything Bruce Kenison wrote in this sales pitch... NO !

anyways, thanks to day trading's research, we now see where all this mystery leads to ultimately, a basic commodities trading advisory service.
quote:
Sadly, illness has now silenced Bruce Kenison, and I cannot truly say if he will ever recover.

But having hosted what amounts to a Fan Club for Bruce Kenison and his counting numbers, I now feel I am in a position to publish once again daily commodity numbers that are based on his methodology.



Source: http://www.wordlink.net/About.html
well i guess he recovered, since he started this thread


i looked at wordlink.net, and it appears to be a fee-based advisory service spun off the original kenison service.
That's exactly what it looks like. Somebody called Wes Tuinstra appears to be running it. I am guessing that he bought the rights to the Bruce Kenison system and name and is trading under the name and fame because it's good for business.
Out of curiosity I signed up on the Mailing List. Here is the first part of today's email in PDF:

quote:
July 12, 2006

First Market In The Spotlight…Gold

Bruce Kenison’s Futures Hotline went long August Gold at 578.10 on June 15. We were stopped out with a huge profit when our trailing stop to “sell one August Gold at 629.40 stop” was hit.

Second Market In The Spotlight…S & P 500
Our sole current open position in Bruce Kenison’s Futures Hotline is a short September S & P at 1276.30 entered on July 7, 2006 on the key reversal down. We entered the position when the market traded below a previous day’s low after trading up into our Kenison Counting Numbers projected reversal zone.

Our initial stop loss point was to “buy one September S & P at 1289.80 stop.” We will now cancel our initial stop and enter a new trailing stop loss point on this position to “buy one September S & P at 1283.80 stop…leave it open.”

All the best…Bruce.



Now my question is: Considering that it is signed by Bruce, does this mean that Bruce is now in better health and issuing these? Or is it someone else under his name?
Yes it is a bit confusing... did you sign up with Bruce or with Wes ?

It appears they both may be running separate advisory services based on the magic counting numbers. If so, it would be intersting to see the differences in the two. Also, as you point out, is it really Bruce or someone else representing his interest running his hotline ?

I will say, the S&P short is working nicely for them so far, they caught the turn on the daily chart and are riding a nice downdraft here. It will be interesting to see how they manage this trade.
I signed up with the instructions at the bottom of the first posting in this topic which were to send an email with the word SUBSCRIBE in the subject to [email protected]

Calling the turns is obviously half the battle but I wonder what sort of money management rules they apply to this stuff. I'm guessing that they have fairly big stops.
Beyond Candlesticks "Steve Nison"

pg.121 talks about 8 to 10 record sessions
not sure this is how Mr. Kenison was calculating