Sunday, September 14, 2014

Profitable Thoughts On Market Breadth And Market Timing | Seeking Alpha

Profitable Thoughts On Market Breadth And Market Timing | Seeking Alpha



Fred Piard has written an outstanding article about how to make the best of the stock market based on what the S&P 500 (SPY) is doing.  For example, if you are coming off a stock market bottom, you should buy when 25% of the S&P 500 stocks are above the 200-day line.  You continue to hold stocks until 25% of the S&P stocks decline from wherever they were.  Then, you buy stocks again when 80% of the S&P 500 stocks are above the 200-day line.  Fred also showed a chart of how your money is protected while you are sitting on the sidelines during times when everybody else is losing money.



 

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