Equal-Weight SPX+NDX+DJI+RUT - Cycle Analysis · To get more insights, consider the cycle composite of the equal-weighted average of SPX, NDX, DJI, and RUT returns. · Hurst principle of commonality states that indexes move together following similar and/or the same cycles. · This exercise attempts to average possible noise in cycle estimation for individual indexes and indicate what the “market” will do. · The cycle composite includes all relevant cycles, from short to very long. · This cycle composite conveys a similar message as SPX, with minor differences, which are well within the tolerances we should allow in analyzing cycle composites.
Published Sep 13, 2026Updated Sep 13, 20262 min read
Equal-Weight SPX+NDX+DJI+RUT - Cycle Analysis · To get more insights, consider the cycle composite of the equal-weighted average of SPX, NDX, DJI, and RUT returns. · Hurst principle of commonality states that indexes move together following similar and/or the same cycles. · This exercise attempts to average possible noise in cycle estimation for individual indexes and indicate what the “market” will do. · The cycle composite includes all relevant cycles, from short to very long. · This cycle composite conveys a similar message as SPX, with minor differences, which are well within the tolerances we should allow in analyzing cycle composites.
