I called it a consolidation, after a 40% rally (closer to 25% on the S&P 500), rather a bear market.
Lower highs and lower lows. Tom your chart outlines my concern since I have join this board:
Tom,
This year looks a lot like 2000. Notice inSeptember we test the highs set in July? Then after September we fall off the table on lower highs and higher lows:
This chart helps prove my point about buying opportunities even in bear markets. If you look at 2004 you'll see 3 little dips that I turned into gains. If you look at each preceding year, you'll see at least 3 dips, or profit opportunities as I like to call them.
In 2003 you only see one major dip, but since the market was bullish all year, you'd want to just stay in and ride anyway. :^
Come joing me for the adventure of a lifetime!!!! May take awhile, but you'll be happy you did..............
FYI, if you are in FERS and make $60000 a year and contribute 10% to your TSP, you'll have $2,342,661 in 20 years at an annual return of 20% (my goal). Not too shabby!!
M_M, TSP goal of 2,342,661 is not too shabby..... I guess that is why they call us the "Millionaire's Club".
Just curious if your strategy of the 30-day moving averages indicated all of the three dips or "profit opportunities"?
Cinderella wrote:I just started using 30-day moving averages but my 63-day moving averages did. I actually think the 30-day will work even better and afford me the opportunity to a)buy into even smaller dips, or b) stay out longer when the market is sliding.M_M, TSP goal of 2,342,661 is not too shabby..... I guess that is why they call us the "Millionaire's Club".
Just curious if your strategy of the 30-day moving averages indicated all of the three dips or "profit opportunities"?
I'm keeping track of both so we'll.
Have a good weekend.........
M_M
The use of moving averages (MA) has a good show for the current market. The MA I like is 1/2 of the difference between market cycles (peak to peak) which I approximate as 30 to 40 days, resulting in a MA of 15-20 days. Yahoo finance has a good chart with a lot of variables you can play with.
Spaf, Thank-you for the advice on MA's. I have worked with M_M's strategy of the 30 day and 63 day MA and I can see that the MA's do fit the current market. I will try to make some time this weekend to work with the chart on Yahoo Finance.
So is my strategy hurting or helping? Feedback is always appreciated. Sometimes I feel so un-loved!!!!!!!!!!!o
M_M
Your strategy is a confirmation that using moving averages (MA) is appropriate for trending the current market which has been cycling up and down.
We are in the Forum for long term outlook, with short term topics :? must be all them cycles we ate!
mlk_man wrote:Milk,So is my strategy hurting or helping? Feedback is always appreciated. Sometimes I feel so un-loved!!!!!!!!!!!o
Your strategy is great. I do the opposite of what you are doing it has worked out great so far. Keep me posted on your future changes :^.
MT
MarketTimer wrote:Hey MT, your getting old very quickly. If you don't like what I do, don't watch. Of course we all know you can't resist a chance to mouth off though. Always adjusting the facts to fit your needs. Are you a politician?mlk_man wrote:Milk,So is my strategy hurting or helping? Feedback is always appreciated. Sometimes I feel so un-loved!!!!!!!!!!!o
Your strategy is great. I do the opposite of what you are doing it has worked out great so far. Keep me posted on your future changes :^.
MT
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