What to do when gauges conflict?

evanscjeUncategorized0 Comments

Under such conditions of conflict it’s hard to make money. In the end the daily will win – you can make money because the short term holding period renders the longer term gauge less useful. To truly understand the bet we’re making we have to differentiate between the inputs in each case. The long term index has no input for … Read More

We need bonds to help stocks

evanscjeUncategorized0 Comments

You can see how readings below 1 are so low that we simply don’t need to own stocks at those times – everyone is fearless. We can then add that filter so now we must see bonds rallying (5 days ago) and some amount of fear must exist. I shall make no effort here to select a “good” fear level. … Read More

Fear, not greed, is your friend.

evanscjeUncategorized0 Comments

The proxy for fear rises when the market falls, just as one would expect. Paratrade will buy the market when fear is up (above its 20-day average) and you’re going to buy it when fear is down (below that average). One would expect to benefit from buying dips in a bull market and get hurt when the market trends down … Read More

This is not a market commentary site

evanscjeUncategorized0 Comments

Everyone has an opinion. Financial market media is awash with so-called experts waxing on about where markets will go but rarely do we get to see a published track record of those “experts”. What sells the best is a dark view that tells us all to be very afraid. It appeals to our primal instincts to beware of the creeping … Read More

Welcome to all

evanscjeUncategorized1 Comment

This is the inaugural post of Paratrade systems with regard to its market fuel gauges. We are mired in a stale state with regard to the stock market so all I can do is look to bonds for excitement. It’s just been too long since our last bout of trauma. We need some fear! CE