Seven Sentinels

NAV is right, below. I remain flat. Unless this market develops some real internal strength very soon, the opportunity will be lost for the time being to get a 7 of 7 positive crossover, i.e., buy signal, because the momentum measures are starting to show signs of deteriorization. Only a sudden expansion of internal strength immediately can rectify that. The market charts its own course- all I can do is listen to its message and respond (or wait). D

I, too, am bothered by the trader sentiment: the bottom spotters club has suddenly gotten just too crowded, as demonstrated by the ISEE and other P/C numbers and trader comments.

So I continue to wait and watch for a signal- and will welcome it with agressive action if it comes, but fully recognize that the market may be have other designs. Unless we get some real internal strength, the window is closing. Regards, D

I am not an expert on IYB's SS. But i know IYB uses internals and some MA crossovers on the indicators to determine his buy/sells using SS.

All the indicators have deteriorated in the last 2 days. The Nasdaq high-lows made fresh lows on daily and weekly charts and so did NYSE high-lows. The breadth MCO on Nasdaq broke down today. In other words, IYBs assertion that we are one day away from a SS buy signal may no longer be valid given the new information that has flowed into the markets. Sure we can have a one day bounce. But i doubt that will be sufficient to pull the indicators from the depths into a SS buy signal. IYB can comment on that, since i am not an expert in that area.

Cpc went from .64 to .92 today, ISEE from 1366 to 97. Unless there is a reason for paying more attention to the ratios at the open, I don't see how these indicate bottom spotters are rampant.

IYB, can you point me to a chart which notes the actionable signals from your system:? Or, can you give me the buy-sell dates for the last couple of years? Thanks.

Cpc went from .64 to .92 today, ISEE from 1366 to 97. Unless there is a reason for paying more attention to the ratios at the open, I don't see how these indicate bottom spotters are rampant.

I use CPC as bottom spotters ( among other charts ). I don't think $CPC alone will tell us a bottom. However, last week it was the only glaring Sell signal I had....

Barry

IYB, can you point me to a chart which notes the actionable signals from your system:?
Or, can you give me the buy-sell dates for the last couple of years? Thanks.

I haven't annotated the signals, nor do I have them set up on a 2-year+ x-axis. I'll do that sometime in the next couple of weeks, since you ask.... If you want to set up the charts and backtest, please make sure that the proper momentum "set-up" is observed as part of the signal. Best, D

Edited by IYB, 03 March 2009 - 04:22 PM.

OK, well, I was just interested in when they were "good" and when they might not have been. Maybe learn something trying to figure out why. Thanks.