Frequently Asked Questions

Dr K Market Direction Model
This choppy news driven market not ideal for trading but at least you warned us to expect that during whipsaws. In this type of environment do you find it better to be more focused on ETFS or stocks?
In this type of environment, the challenge is in knowing when this type of environment ends. Attempting to make predictions usually ends up costing one in the long run, as one is more liable to be out when they should be in, and vice versa. Thus, over the years, we have always found it best to run screens each day, watch what the direction model is telling us, and adjust exposure to the market on this basis. In other words, the method is a very 'in the now/in the present moment' organic process that gives one enough information on a day to day basis.

Published: Mar 7 2011