Sunday, December 21, 2014

Turn-Around Sectors by Delta M measure



Identifying stocks based on measure M, on stock Sectors.
- The measure M is a technical indicator timing kind of measure.
- In particular use M as a delta of a measure, say over a 5day or 1 week period.
- Rank all sectors according to measure M.
- Find the worst sector based on M.
- Now we try to find when a falling market is turning around.
- At the end of next week, perform the above analysis again.
- Compare the latest week's analysis to its previous week, based on the M delta measure.
- Check which sector has moved up from the bottom of the list, between one week and the next week.
- Pick the sector above and now look at the list of stocks in that sector.
- Choose the top performing stock of that sector to invest.

The sector, can also be replaced by Industry analysis.


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