2011 has been characterized by many cross currents which has made for a trendless market environment. Such environments are challenging to say the least, and it is natural to feel frustration during such difficult periods. Fortunately, at some point, a new trend always begins.
MDM - A brief comment on yesterday's switch back to buy
|Published:||14 Jul 2011 09:02 ET|
The model very rarely ever switches signals so quickly, but we are in unprecedented times with quantitative easing on the table. The model dipped its toe in to test the waters with the previous buy signal, then when problems worsened in Europe, it detected enough selling pressure to switch back to neutral. It also takes into account its fail-safe which keeps losses to an absolute minimum during such times. With yesterday's Federal Reserve notes showing Bernanke is putting QE3 back on the table, the markets rallied pushing the model back into a buy signal.
This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2021 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.