AlphaDow Barometer Lite -- Remain long SPY, EWC, AGG and GDX

Sean Gallagher Has Had Over 25 Followers Rank: 30 Followers: 47 Votes: 27 Years Member: 5 Last Update: 14 April 2014, 12:56 Categories: ETFs
General Market Commentary
Canadian Stocks

Click for AlphaDow ETF Advisor (Power Rankings)

Dow Theory is still in BULL mode. Primary confirmation was 12/31/13. Primary non-confirmation since.

The Call For The Week of April 14th:

Volatility increased last week on fears that Putin would annex the rest of the Ukraine ahead of any NATO action. Bonds and gold rallied as stocks declined. While the market is oversold on a short term basis, we are entering a seasonally slow period for stocks and remain cautiously positioned at 2/3rds invested.

Our firm has developed a list of 41 Focus List ETFs. Please send feedback for your copy.

The Dow Theory is a form of technical analysis that relies on detecting trends in the stock market to determine an investment strategy. The detection of these trends may be interpreted differently by different analysts and the opinions expressed on this website may not be shared by other individuals who apply the same principles of The Dow Theory. Past performance is not an indication of future returns. It should not be assumed that any recommendations made will be profitable or without the risk of loss or will equal the performance of the benchmark portfolio. All investments involve the potential loss of capital.

Less

1. AlphaDow -- a five point plan. 5=BUY 2=Sell. Use SPY or the strongest (Alpha) ETFs.

Bullish when 5 out of 5 are true (+1):

$SPX is trending up (trend is up)

Advance/Decline Line is trending up (buying power)

$TRAN is trending up (Dow Theory confirmation)

Utility Average MA rises (interest rate sensitive)

Bonds are trending up (interest rates are low)


74% winning trades (13/18) since 1970. Beats buy and hold by 300% with less volatility. Past performance is no guarantee of future results. This is not investment advice, but is for educational purposes only. Consult your investment advisor for additional information regarding suitability, fees, expenses and short term trading costs.

2. AlphaDow Canada -- Dow Theory for Canadians -- send feedback for strongest (Alpha) ETFs.

Bullish when 5 out of 5 are true (+1). Stay invested until 3 turn false (0).

$TSX is trending up (trend is up)

Advance/Decline Line is trending up (buying power)

$TRAN is trending up (Dow Theory confirmation)

Utility Average MA rises (interest sensitive)

Bonds are trending up (interest rates are low)

67% winning trades since 2000 (2/3) beats buy and hold by 87%.


Past performance is no guarantee of future results. This is not investment advice, but is for educational purposes only. Consult your investment advisor for additional information regarding suitability, fees, expenses and short term trading costs.

3. AlphaGold - 1 chart 3 Indicators for Gold (GLD or GDX).

Bullish when all three systems are on a BUY. Score +1 for each of the following TRUE statements:

US Dollar Index 12wk EMA

Dow > 48wk EMA

Buy Gold (GLD) if score is 3. Stay invested (long GLD or GDX) until 2 turn false (0).

14.8% CAGR with 13.8% max drawdown 1954-1995. *Source: Wall Street Journal - Divining Gold's Next Move 2006

Past performance is no guarantee of future results. This is not investment advice, but is for educational purposes only. Consult your investment advisor for additional information regarding suitability, fees, expenses and short term trading costs.

4. Canadian Equity 25% position

Stop loss at 100d MA

5. US Equity 25% Position

Stop loss at 100d MA

6. DBC - 25% position

7. Bonds (Safety) 25% -- hold for income. Stop loss at 100d MA.

Stop loss at 100d MA

This information is presented for education purposes only. StockCharts.com is not responsible for any comments, advice, or annotations presented on this page. Please review our Terms of Use for more details.