Wednesday, December 16, 2009

Nothing new here as of Wednesday, December 16th ....

...
but I wanted to give you a head's up on this strategy.

As an equally-weighted strategy, this one is decreasing in acceleration.  It's still making money in this market, but it is doing so at a slower and slower pace each day.  I base these statements on the slope of the 65 DEMA, smoothed over 1 week (5 DEMA - short term), 1 month (21 days -- intermediate term), and 7 weeks (34 days -- longer term).

Correspondingly, my observations are as follows:

Long-Term Trend:  slightly (+) at 0.0594/day
Intermediate-Term Trend (-) at 0.0542/day
Short-Term Trend:  (+) at 0.0536/day

Ideally, we want all of these pointing upward, but that middle trend line is pointing downward (although it is still positive), giving us a bit of a warning shot.

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