Richard Drury Inflection investing aims at identifying inflection points, i.e., changes in trend from negative to positive (or at least to neutral). It has connections with capital cycle theory. This theory focuses on the creative destruction process that dominates cyclical sectors: periods of high prices spur producers to expand production in excess of demand, which leads to a glut and a collapse in prices, to which producers respond by cutting production, until prices recover, and the cycle can start agai ...