Tuesday, May 26, 2009

Moving Average ETF Trading Strategy Update for Week Ending 5-22-09

Investor B checked the 10 ETFs from his balance portfolio. He is looking for 50 day moving average cross above the 200 day moving average. He is holding only 2 ETFs thus far, the iShares Barclays Aggregate Bond (AGG) and the iShares Barclays 1-3 Year Credit Bond (CSJ). After checking all 10 ETFs, there is no change this week to the portfolio.

Background: Investor B is using a 50 day/200 day exponential moving average trading 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 investing strategies of Investor A (Buy and Hold) and Investor B.

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