I work out Martin Zweig's “Winning on Wall Street” System for allocating money in the stock market largely based on how the Fed sets interest rates. Last Friday the 4% component that measures Wall Street went negative and we know have a bear market according Zweig. The full model now says you should only be 50% invested in the Stock Market.
Not actually put the figures up on the web site yet but when I do they will be at http://investstrat.com/4percent.html and http://investstrat.com/supermodel.html.
If the US market goes bear it is highly likely the rest of the world will catch the bears as well.
Anybody know of a good short term money market ETF that is likely to keep its value pay some interest and avoid the collapse of the bond market?
Interesting stuff. I wrote an article on the stockopedia site last night suggesting we might see a pullback in the markets. I'm not sure the UK will take as much of a hit as the US - but the US definitely looks a bit expensive to me and due a reversal. Your figures seem to suggest the same. Thanks for alerting me to Zweig. Another book to read.
If you find the ETF then I'd be interested too!
