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Your link referred to momentum (items "e & f") as one sign to keep an eye on and understand.
Bob's Mutual fund page does a nice job of identifying MO. Here is a link to his userguide which describes Momentum in markets as well as funds the site tracks. Here are the indices he tracks as well...seems to be showing more recent negative price momentum across these indices, but still all green on the right side of screen.
He is quoted as saying about spotting market tops: "Momentum investing is safest when momentum is rising. Those who were surprised by the April 2000 correction in the market leaders might want to look at the Archives that I have added to this site. You will notice that the entire Leaderboard was green in early March. By the middle of March red had started to take over the right side of the Leaderboard. This was a warning that the strong rally the leadership on the Leaderboard had enjoyed over the last 6 and 18 months could be nearing it's end. The arrival of the Red Sea on the Leaderboard is always a warning that the trend may be turning down. Since corrections tend to be much quicker than rallies momentum tends to drop behind price during a correction. For that reason the arrival of the Red Sea is a warning to timers that the time may be right to start making exits. All investors should consider being more defensive at time like these. Non-timers might simply chose to reduce the volatility of their portfolios. This may be done by shifting to a more conservative allocation or by moving to value plays. This shifting of part of your portfolio to value (bottom fishing) works best when the weakness on the Leaderboard is caused more by a rotation than a shift out of stocks."
Comments
Joshua M Brown November 9th, 2013
"It's uncanny how things never change. Read this and tell me you don't see these exact same things playing out as we speak."
http://www.thereformedbroker.com/2013/11/09/chilling-signs-of-a-market-top/
But......
http://www.thereformedbroker.com/2013/11/10/lesson-dont-fight-the-global-fed/
Your link referred to momentum (items "e & f") as one sign to keep an eye on and understand.
Bob's Mutual fund page does a nice job of identifying MO. Here is a link to his userguide which describes Momentum in markets as well as funds the site tracks. Here are the indices he tracks as well...seems to be showing more recent negative price momentum across these indices, but still all green on the right side of screen.
In Bob's User's guide link,
customer.wcta.net/roberty/GUIDE.HTM
He is quoted as saying about spotting market tops:
"Momentum investing is safest when momentum is rising. Those who were surprised by the April 2000 correction in the market leaders might want to look at the Archives that I have added to this site. You will notice that the entire Leaderboard was green in early March. By the middle of March red had started to take over the right side of the Leaderboard. This was a warning that the strong rally the leadership on the Leaderboard had enjoyed over the last 6 and 18 months could be nearing it's end. The arrival of the Red Sea on the Leaderboard is always a warning that the trend may be turning down. Since corrections tend to be much quicker than rallies momentum tends to drop behind price during a correction. For that reason the arrival of the Red Sea is a warning to timers that the time may be right to start making exits. All investors should consider being more defensive at time like these. Non-timers might simply chose to reduce the volatility of their portfolios. This may be done by shifting to a more conservative allocation or by moving to value plays. This shifting of part of your portfolio to value (bottom fishing) works best when the weakness on the Leaderboard is caused more by a rotation than a shift out of stocks."