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Here is a good example of careful use of the 'cu' signal. In this case a reasonable stop might have been close to 100. We stress the term "careful". In retrospect it is easy to see that selling at the 'cu' at the beginning of March would have been foolish. Note that there was a nice profit since the 'up' in the middle of February, so that putting a stop a bit below the current price is not unreasonable. Many advisors, Louis Rukeyser and John Dessauer among them, are strongly against market timing even though they also advise to "buy on weakness"... which sounds like a mild form of market timing to us. In fact, John Dessauer, believes that market timing is "a threat to your wealth and health" , and urges his readers to "dismiss all notions about market timing". He has several examples in his latest newsletter citing the losses that can result from market timing. We are fans of John and Louis, even though we believe that market timing of the sort we are advocating has a place in successful investing. We have many examples which attest to the value of our methodology. |