Garden Growing-Why not now II? 6.7.17


EOM Q&A:  Garden Growing-Why not now II?  6.7.17

Here is a link to today’s interview with Will Stephens on WXAN.  We discuss the current state and opportunities for retail plays, plus new info on the Fiduciary Rule. 

Today, I continue with my series to answer your question, “with the strength of the current market, why not start now?” 

When complete, I revisit our All-Star A&B and High Dividend CEF candidate plays, and the promised “Garden Growing Review” report.

My goal is to have all Garden Growing training II finished by Mid-July at the lastest.  Why?  In case the last three-year seasonality cycles hit again this year. More on this tomorrow.

Today I feature my chart of the S&P 500 featuring the number of pullbacks per year since 2009. 

Key Points…

Per the chart, there have been at least two tradable pullbacks per year since 2009. Some years (2014) had more than two.

No one knows exactly when the next profit-taking will begin-so true.

Action Points…

1.  There has only been ONE tradable pullback in 2017
2.  Have alerts set on all candidates 
3.  Develop patience and wait for a pullback-value
4.  Use Simple Simon Buy signals for enter decisions

Key questions…

1.  If nearing or in retirement, can your portfolio survive a 20-30% drop?
2.  The current bull run of 8 years is in-between the last two-time wise 
3.  During every bull runs, there are pullbacks
4.  Do you want to enter with the markets making new highs?
5.  What would it hurt to wait until at least the next five percent pullback to enter?

Tomorrow, we will study previous seasonality charts with the SPX, to help our strategy.

Enjoy your day,

David O. England


Plan your work, work your plan, and share your harvest! 1 Timothy 2:1-2

This information is for Educational purposes only. It shall in no event be construed or interpreted as an offer or recommendation to buy or sell securities of any kind.

DAVID O. ENGLAND is the founder of the Eye on the Market-Training Academy and Associate Professor Emeritus of Finance. This column is presented for educational purposes only and not intended as financial advice.

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *