The Best 6 Month Switching Strategy has consistantly delivered. November to April with the exception of February have have been the top mos on the Dow since 1950. Add February and an excellent strategy is born!
These 6 mo have gained all the upside on the Dow in 56 years!
May through October has lost ground over the same period!
The Switching Strategy means moving to fixed income for the 6 losing mos.'The past 20 years, to 2007, would have returned on an initial $10,000 investment in 1950 approx $450,000 vs $1,000 during the worst 6! Using the simple MACD (Moving Average Convergence Divergence) indicator developed by Gerald Appel to better time entries and exits into and out of the Best 6 Months period nearly triples the results.
This year would have proved a Bonanza! (For any equities!)
Having said that, will the next 6 deliver to the upside on our investments?
Just knowing the markets are moving into the best 6 months should raise the confidence level, certainly in some areas, IMHO, gold and gold equities poised to lead the parade, as both have suffered a "hammering" as of late!
The inflation adjusted value of the Dow today is in the 2,000 Range where gold has to go just to reach its inflation adjusted value based on its previous "historic" high of $850. 1 to 1 ratios of Dow/gold are the rule historically during periods of high interest rates brought on by severe inflation, the direction in which it seems we're headed!
Are you ready for The Best 6 Months?
RUF