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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 (48089)	4/1/2013 12:45:13 PM
From: expiredoptions	Read Replies (1) \| Respond to of 218505

GZ, No, but with a good explanation: For the past several decades we have been bullishly invested when the SP500 is above 20MMA and bearishly invested when the SP500 is below the 20MMA. This has always worked perfectly for us for decades as long the SP500 was in a continual very long term uptrend making higher high's and higher low's. "But," if you look at the chart below, the past 15 years (1997 to present) the SP500 has developed a long term 15 years trade range, with relatively equal highs and lows (700's to 1550's). As soon as we noticed that trade range, the rules of long term investing changed to our trade range rules. The rules of long term investing in a trade range for us is simple: Sell the top of the trade range and buy the bottom. That's it! Simple as a rock. So GZ the answer to your original question is: "we bailed a few weeks ago when the top of the SP500 trade range hit the 1550's." (I had posted it here then.)