Tired Of Missing Rallies? 4 Ways To Improve Your Game - Seeking Alpha

Tired Of Missing Rallies? 4 Ways To Improve Your Game - Seeking Alpha

Chris Ciovacco has written the best overall market timing article that I have ever seen.  Part of the article involves a binary choice system revolving around what the S&P 500 is doing in relation to its 20 day ema line.  If the S&P is above its 20 day ema, and the slope of the line is going positive, you should be 100% invested.  If the S&P is below the 20 day ema and the line slope points negative, you should be 100% in cash.  Then, Chris also covers two other binary allocation rule situations for 34% invested and for 50% invested.  The S&P chart for the past few months shows that the binary pattern works for being in or out of the stock market.  This will be one of my primary allocation procedures in the future as long as it continues to work.

Secondly, Chris showed an amazing ETF table guide for whether you should be fully invested or not.  If the S&P is leading the bond standard AGG, you should be in stocks.  If XLE energy is beating the S&P, you should be in stocks.  Only when AGG and other defensive stocks are beating the S&P should you be out of the market. Once again, I have never seen a market timing article better than this one, and I plan to use it.