      Each of these components has an equal weight. Combined, they paint anoverall, or "macro" picture of the economy. As a general rule, threeconsecutive movements in the LEI in the same direction is an indicator thatthe economy is moving, or will move, in that direction. Since 1952, the LEIhas "predicted" 10 recessions, but only seven have actually occurred.Still, an indicator that is 70 percent accurate is an incredible indicator.When analyzing the LEI report, it is important to keep in mind that thegreatest reaction of market participants will occur on the third"confirming" report. Therefore, when the previous two reports are bothbearish (or bullish), the third report will be watched closely by all. Ifthe third report confirms the first two bearish reports, there is a 70percent  possibility that a recession will ensue, and the market will reactaccordingly.