So I screwed up over the last couple of weeks. I misread two of the charts. The ones for iShares Barclays 1-3 Year Credit Bond (CSJ) and iShares Barclays TIPS Bond (TIP). Neither of these charts indicate a buy signal so I took these two out of the Actively Managed ETF Portfolio. Only one ETF indicates to go long and that is the iShares Barclays Aggregate Bond (AGG).
Since this is an experiment I didn't penalize the portfolio but it is a good lesson to pay closer attention when looking at the charts. By the way, I am using the charting from Yahoo Finance and using exponential moving average for the 50 day and 200 day moving averages. Exponential averages give a little more weight to recent prices.
Background: Investor B is using a 50 day/200 day exponential moving average strategy where when the 50 day moving average is above the 200 day, that is a bullish or buy signal. When the 50 day moving average is below the 200 day moving average, that is a sell/bearish signal. The balanced ETF portfolio can be viewed here as well as a more detailed explanation of the ETF trading strategies of Investor A (Buy and Hold) and Investor B.
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