The analysis begins with a detailed review of the major market indexes for bullish or bearish price action. Next we dig deeper and isolate the state of liquidity in each index and identify whether liquidity is entering or leaving the market. We aggregate several internal, sentiment and proprietary price indicators to gauge the ability of the markets to move higher or lower across various timeframe scenarios.

Once liquidity has been identified, Epiphany Research breaks the markets down to sector groupings and applies the same approach. Paramount in the Epiphany Research process is price action and liquidity inflows, as well as proprietary sentiment and momentum indicators.

Several comparative relative strength techniques are implemented to rank sector groupings and isolate the strongest price action as well as the best liquidity inflows and internal strength to achieve our goal of isolating the highest probability trading scenarios. To complete the macro analysis of sector groupings we use a "bottoms up" breakdown of the sector and screening of all the sector components.

The Epiphany Research process final step is to review each stock in the group individually by price action, our indicator, and comparative relative strength screens isolate the names which are positioned most favorably to achieve our goals on the long or short side with the least amount of risk.

Epiphany uses this "top down" liquidity driven approach because we believe that liquidity drives asset prices and is the most reliable indicator of trend strength. This is an advantage since we can accurately identify markets and sectors that will provide us with a favorable scenario to make profitable trades. Epiphany embraces this idea by developing proprietary data sets and indicators to extend this concept across all the indices, sectors, and sub-sectors. This is a time consuming process but we believe we are able to gain unique market insights by following this process in a rigorous manner.