Tuesday, September 20, 2011

Explanation of Long Term Indicator

The Long Term Indicator takes a weighted average of ten separate qualities of the market environment that we follow on a daily basis.  The 10 qualities of the market environment are:

  1. Monetary Policy
  2. Fiscal Policy
  3. Default Risk
  4. Economics
  5. Market risk
  6. Fundamentals
  7. Sentiment
  8. Technical
  9. Seasonality
  10. Price Patterns
The score is on a scale of 1-100 and the results are viewed as follows:
  • Above 85 -Extremely bullish investment environment
  • 75-84-Bullish investment environment
  • 65-74- Neutral investment environment
  • 55-64-Bearish investment environment
  • 54 and below-Extremely bearish environment
These scores will be published daily.

No comments:

Post a Comment