The purpose of this article is to review some of the highlights of systems thinking. My focus will be on practical applications and rules of thumb, rather than trying to develop a scholarly article which would only be of interest to … well, scholars! I will make every effort to do you no intellectual harm, […]
Category: Markets
Profitable ETF trading strategies: adapting to chaos
When you find yourself in conditions of chaos, you discover that your robust systems are beginning to break down. They no longer perform as designed, simply because the volatility is greater than the system boundaries and feedback mechanisms can account for or moderate. Slack, buffers, filters and boundaries all work to dampen waves of change. […]
Profitable ETF Trading Strategies: Understanding regional correllation
Based on our market classification scheme, there are 9 market states derived from 3 price momentum measures combined with 3 volatility measures. There is an important phenomenon related to the Bull-Sideways-Bear market states that can give you both insight into current conditions as well as a decisive market edge in risk management. The edge comes from […]
Market turning up from intermediate bottom
KO, CLF performed well today from the Friday seminar example trade. AA hasn’t followed thru yet, which is an anomaly since materials had an excellent day; A ton of quality WO patterns on the daily screen; this may be the time to focus instead on broad mkt washout pattern and be ready to buy tomorrow’s […]
Profitable ETF Strategies: Market Valuations
The great Dr Brett Steenbarger writes: Based upon the replacement cost for assets of the S&P 500 companies, the index should be trading around 910 — roughly where it stands now. At historic market lows since 1920, however, indexes have tended to trade closer to somewhat above half their replacement cost. Our market classification tool […]
Markets testing intermediate term low: set up for a low risk trade here
the test of Friday’s low sets up an excellent, low risk short term trade here. We will look at it in the seminar tomorrow as a case study. The volatiltiy has been murderous on investing, and buy-and hold, but has been excellent for short term trading designed to capitalize on chaos and uncertainty
Reflecting on rewarding failure: markets
2 sets of financial institutions to think about, and the political leadership that’s deciding where to throw our money (1) Some made good loans and have lost no money in the recent meltdown. These are the community banks and credit unions that know their business and make good decisions in all market conditions (2) Some […]
Market classification: Oct 11, 2008
Short term trading opportunities: the Tortoise mastermind
1. This year should demonstrate the practical value of the Tortoise market classification methodology. The ETF2 “Smart Steps” weekly recommendations combined with the ETF evaluation methodology has offered plenty of warning to protect your portfolio against the ravages of this year’s multiple bears. The assorted specialty reports have identified trends in multiple market sectors that […]
Profitable ETF trading strategies: leadership out of the abyss
Jimmy Rogers, trader extraordinaire, agrees with us at Tortoise Capital that it is outrageous that the bailout is designed to try to avert taking our medicine. You must hit bottom, and start over, in the same way that the market has worked for thousands of years. Bailing out 29 year old brokers that are unsound only perpetuates […]