Am I Bullish, Bearish or Neither?

Choice “C”…neither!

I am of the opinion, being Bullish or Bearish are emotional states of mind.  They are NOT STRATEGIES.  I believe that we should invest in each asset on its own individual merits/patterns, not based upon some global macro prediction.

Did I suggest to buy the¬†500 index (see post) and become “BULLISH”¬†on 8/29 because the economy was fine?¬†NO!¬† Bought the 500 Index due to these conditions…Bottom of channel support and a falling wedge and by the way, the fewest investors bullish since the March 2009 low.¬† NOTHING MORE!

¬†Did I harvest the S&P 500 position and become “BEARISH”¬†yesterday (see post) ,¬†after an 8% gain in three weeks,¬†because something is bad about the economy? NO!¬† Harvested due to Fibonacci resistance at the top of a trading range. NOTHING MORE!¬†

Did¬†I buy Silver a month ago (see post) because something is wrong with the dollar or that inflation is going to go wild or….NOPE!¬† I bought Silver on an upside breakout from a favorable pattern,¬† an ascending triangle . NOTHING MORE!¬†¬† Silver is up¬†over 14% since the purchase.

Why own Emerging Markets or Brazil right now?  Falling channel breakouts!  (See Post)  NOTHING MORE! 

Why own High Yield mutual funds?  A breakout of a flag pattern and above moving averages (see post) . NOTHING MORE!

Why BUY HOME BUILDERS XHB  (see post) when so many people are BEARISH on this industry?  Because of rising channel support plus a sizeable falling wedge after a 30% decline. NOTHING MORE!   (Current gain of over 12%!)

Will we buy the 500 index and other global markets  (see post)  on an upside break of these long-term falling channels? YES!!!

My goal is to try to provide solutions,¬† that will help investors “inflate portfolios, regardless of market direction by way of the Power of the Pattern!”¬†¬†¬† I will leave the Bullish or Bearish¬†elements of this business to people much smarter than myself.


How The Recent Decline In Stocks Looks "Eerily" Like Major Bear Markets Of The Past