2/22/10

For traders only

I have noticed a pattern that has been quite consistent.

I am intrigued by the concept of market cycle. There are several of them with many durations.

Recently, however, the four week cycle caught my attention. It starts in the first half of the month and bottoms after four weeks (plus or minus a few days).

How do I use this pattern? First of all I choose a stock displaying this distinctive cycle. After I buy it, I know that I can make money the first two weeks of the price increase. If I do not, I sell immediately.

Why? It is quite typical for the stock to show no major appreciation during the last two weeks of the four week cycle.

George Dagnino, PhD
Editor, The Peter Dag Portfolio. Since 1977
Ranked Top Market Timer in 2009 and 2010 by Timer Digest

To find out more about my in depth views of the markets and my strategy just visit our website https://www.peterdag.com/ where you can review The Peter Dag Portfolio. You can also call me at 1-800-833-2782 to discuss your specific money management needs.

I will be happy to speak to your investment group on how the business cycle impacts investment strategies and the choice of asset classes.

Disclaimer. No material here constitutes "investment advice" nor is it a recommendation to buy or sell any financial instrument. Actions you undertake as a consequence of any analysis, opinion or advertisement on this site are your sole responsibility.

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