S A

ETF Screening: Trend Lines and Track Records

I find this strategy very compelling, I have been gravitating towards a similar but simpler model - thank you for sharing it.

A few questions if possible:

1. You mention a stop-loss on 8% drop. From where do you measure the 8%? highest traded value since holding was established? highest closing value since holding established?

2. How tax-efficient is this strategy? is the avg. etf holding period short (making the gains short-term high-tax)?

Thank you,
SA.

David Fry's Daily Market Outlook

You keep complaining that XHB does not trade "fundamentally" - meaning you expect it do go lower while it consistently goes higher since bottoming in July.

Here's a thought: maybe XHB is trading, as equities tend to do, based on forecasting the homebuilders' turnaround (some 9 months out) which is becoming more and more plausible with each passing day.