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Strategies & Market Trends : Stocks Crossing The 13 Week Moving Average <$10.01

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To: Duke who wrote (2259)7/17/1998 11:40:00 AM
From: James Strauss  Read Replies (1) of 13094
 
13's Correlation With Market Direction...
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Duke:

The old Marty Zweig saying, Don't fight the FED and Don't fight the tape is as true today as it was 20 years ago... With a low interest rate environment and the major averages heading higher you have to go with the flow until moving averages are violated to the downside...

What's interesting about the 13's correlation to the market is it represents interest in the low price stocks... Since these stocks usually lag the overall market, their direction, either up or down seems to act as a lagging confirmation of market direction... It has worked since the 13's thread was started... Right now it's saying the market is going up... I strongly suggest those that have mutual funds should have this type of asset allocation at this time...

Market Index 25%
Capital Appreciation 25%
International 25%
Emerging Markets 10%
Money Market 15% [Can go into Emerging Markets if they continue improving]

Jim
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