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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives -- Ignore unavailable to you. Want to Upgrade?


To: GROUND ZERO™ who wrote (43697)1/11/2013 5:46:13 PM
From: Kirk ©1 Recommendation  Read Replies (2) | Respond to of 218838
 
VERY interesting data! I follow and plot the Rydex ratio but had not thought to look at overall levels.
Finally, and most interesting, is that total assets in Rydex Funds have been dropping precipitously for about six months, in spite of a lively market rally. This could mean that investors are losing interest in Rydex funds and are moving their money elsewhere. I tend to believe a broader interpretation -- that average investors are losing interest in the stock market because of two bear markets, a real estate crash, and the ongoing debt crisis.
They have a high expense ratio which really cuts into returns if you hold and the market doesn't really go anywhere over a long period of time. Less funds could also mean investors are using lower cost ETFs. The funds are probably only used now by folks who want to short with funds in an IRA...

I drew some resistance now support lines in my charts in today's article:

SPY Adjusted For Dividends At Another Record High As WLI Hits A 74-Week High