Thursday, March 01, 2012

My System

This system has been optimized, throwing out months that do not conform with at least a 3to 1 win ratio.

The months that system is valid, is 0Degrees of Aires, Taurus, Cancer, Scorpio, Sagitarrius, Capricorn, Aquarius..This is not astrology however..not in the least..This software just anaylzes trends..and it picks up the end of month inflows of capital..nothing more..

It is well known that money flows into mutual funds at 1st of gold stocks rise in anticipation of this you buy 22 of March(0Aries), 22April(0Taurus), 22June(0Cancer), 22October, 22November, 22December, 22January..

So buy GDX on those days..and sell 2nd of Month..Simple..
If you look at uploaded image you see a Circlewith dot in middle arrow to 01 and those symbols are the months..BUT THIS IS NOT ASTROLOGY..

It works to a lesser extent for all months..but the win ration is 57wins to 43 not worth it..but it doesnt work at all for 20February..or May20..
Here the graph has all months except 0Pisces, 0Gemini, 0Libra..
You can see the that this system is not optimized, the avg gains are less, and win/loss ratios are more equal..Thus trades would have more losers to your gains..thus making the system marginal..

Again dealing with top image..
Not shown is the upside win ratio from @ the 0 also is 3 to 1, but up/down..not the down/up before 0pt. In graph..the 10 means 10days before Sun entry into new sign which is 21st of can see that 12 days before the 21st of month there is a 3losses to 1 win you have to take money out of GDX..or you could short it actually..because there is a 3losses out of 4 on avg if you leave money in GDX the 9th to 21 of month for those months I mentioned..There is a neutral period 3rd of month to 8th..where on avg there is no movement.

Dow Cycle

Data for last 12 years...shows yearly tendencies..with there up/down ratios..