Good Morning;
I use Stockcharts.com symbols and Yahoo for DWCP.
The C-fund ($SPX) reading is at -.11. It is a BUY IF YOU DARE! Today. This fund is Below it’s 20 day moving average (1369.55) which will most likely act as upside resistance should we rally. I believe we are in a bottoming phase.
The S fund (DWCP) reading is at -.10. Today it is a BUY IF YOU DARE! Like the C fund it may be in a bottoming phase and ready to move higher.It is now below it’s 20 day moving average which is a not a good sign.
The I-fund ($IEE) reading is at -.19 and is a HOLD. And is very oversold. The Euro is down slightly this morning which will be a drag on the I-fund today. My strategy is to sell the I-fund if we near a +.50 at an 11am reading in coming days.
The F-fund (AGG) reading is +.39. It is a HOLD today. Adjusted parameters to reflect a possible bottom in.
I will be holding 100% I fund for tomorrow. It is the most oversold and provides the best potential. The Euro also looks good here for a rally also. This may be a very short term play, we will see how it goes. As of 6/18/08 I am #5 in the tracker with a return of +7.37% since 3/11/08.
I have adjusted the Buy Below and Sell Above parameters on (6/17/08) for the stock funds to reflect my belief that they have bottomed or are very close to bottoming. These adjustments would allow us to sell at higher prices and throw a buy signal quicker than usual for a very short term (few days) play. Sorry for the confusion but there are times when these parameters have to be reset to reflect a change in trend (from down to up in this case).
There are no guarantees that the funds will hit their respective Buy Below or Sell Above parameters but the whole idea is to try to sell before everyone else does, preserve your funds, and be patient enough to wait for the 11am Reading to get back below the Buy Below parameter before buying a fund. Quick selling and patience are the keys to being successful in this market. Any comments or suggestions are most welcome.
Good Luck!
------------ Share 20dy 11am Buy Sell Today’s
Date Fund Price ma Read Below Above Rec
6/13/08 C 15.49 1383.10 -.09 -.40 +.10 HOLD IF IN
6/16/08 C 15.49 1379.84 -.05 -.40 +.10 HOLD IF IN
6/17/08 C 15.39 1376.06 +.01 -.10 +.30 HOLD IF IN
6/18/08 C 15.24 1372.28 -.12 -.10 +.30 BUY IF YOU DARE!
6/19/08 C ----- 1369.34 -.11 -.10 +.30 BUY IF YOU DARE!
6/13/08 S 19.36 19.48 -.26 -.55 +.00 WAIT
6/16/08 S 19.51 19.47 -.10 -.55 +.00 WAIT
6/17/08 S 19.47 19.46 -.01 -.10 +.40 HOLD IF IN
6/18/08 S 19.31 19.45 -.07 -.10 +.40 HOLD
6/19/08 S ----- ----- -.10 -.10 +.40 BUY IF YOU DARE!
6/13/08 I 22.75 23.77 -.62 -.65 +.20 HOLD
6/16/08 I 22.82 23.68 -.20 -.45 +.45 I’m Buying today.
6/17/08 I 22.97 23.59 -.04 -.45 +.45 HOLD
6/18/08 I 22.80 23.51 -.15 -.45 +.45 HOLD
6/19/08 I ----- 23.44 -.19 -.45 +.45 HOLD
6/13/08 F 11.93 100.96 -.46 -.65 +.25 HOLD
6/16/08 F 11.93 100.83 -.45 -.65 +.25 HOLD
6/17/08 F 11.96 100.71 -.15 -.65 +.25 HOLD
6/18/08 F 12.02 100.60 +.11 -. 65 +.25 HOLD
6/19/08 F ----- 100.49 +.39 -.50 +.50 HOLD
How to use the above chart & Recommendation Explanations;
BUY - Once the 11am READING number goes below the BUY BELOW number start your buy program as you are entering the buy zone and the fund is oversold. Either buy in completely, realizing there may be a couple more down days to go, or start dollar cost averaging into the fund.
BUY IF YOU DARE! - Longer term momentum chart is falling so expect a rally of only 2 or 3 days if that.
SELL - Once the 11am READING number goes above the SELL ABOVE number start your sell program.
Because we are currently in a bear market in the C, S, and I funds, I would recommend selling your complete position. Bear market rallies can turn on a dime and you will not have much of a topping process. If you are serious about following this system you should set up an Excel spreadsheet to plot these numbers and chart them. It would make the system come to life for you. You will then see where we have been, where we are going, and at what point the market is likely to top out, much more clearly.
SELL/WAIT - Sell your position in the fund and/or Wait for lower prices if you have already sold. Fund is most likely topping and will be trending down soon.
BUY/HOLD - Buy your position in the fund and/or Hold for higher prices if you have already bought. Fund is most likely bottoming and will be trending higher in coming days. It’s okay to add to your position providing the current 11am READING number is below its BUY BELOW number.
Notes:
Selling must be quick and decisive with the C, S, and I funds. Let the other investors fight for that last.half percent. By getting out early, preserving your capital, and being patient for the next buying opportunity you will be successful. This is of the utmost importance. Unlike bull markets, bear markets are unforgiving and don’t bail you out if you should make a mistake or stay in too long. If you start following this program you must try to monitor it every day to get a feel for it. Think of the 11am readings as an oscillator moving above and below a “0” centerline. During up trends the 11am readings will have trouble moving much below “0”. During downtrends the 11am readings will move to the negatives quickly. During a sideways market (channeling) buys and sells will happen regularly at support and resistance points. Please remember this system is just another tool to use to help you decide your investment decisions. These are just my thoughts and there are no guarantees of profit, just educated guesses as to where I think the funds are headed. Please also remember your final investment decision is your choice and responsibility. Hopefully we can make money and avoid disasters.
Good Luck to you all! Here’s14U
Disclaimer: Here’s14U is not a registered investment advisor. The analysis presented is not a solicitation to buy, avoid, sell or sell short any security. Anyone using this analysis does so at his or her own risk. Here’s14U assume no liability for the use of this analysis. There is no guarantee that the facts are accurate or that the analysis presented will be correct. Past performance does not guarantee future performance. Here’s14U may have positions in the securities analyzed and these may have been taken before or after the analysis was present.