Summary

• Knowing whether we are in a Bull or Bear Market and what is working is crucial for investment success.

• Divide the market into four segments: Stocks, Bonds, Real Estate, and Alternative Investments, and use simple charts with three data points.

• Evaluate each segment using Barchart Opinion, Weighted Alpha, and Weekly Trend Seeker Signal, plus the 3 year Total Return to identify trends and opportunities.

• Monitor these segments monthly to understand market trends and make informed investment decisions, avoiding high-risk areas.

This is not an article about Market Timing.  I think that is a useless and frustrating exercise.  I don't know of anyone who actually does it on a consistent basis.  I do however, think that it is valuable to know whether we are in a Bull or Bear Market and what is or is not working at the moment. 

One of the most valuable lessons I learned in life was when I was 14 and getting my American Red Cross Junior Live Saving Badge.  We were taught that if you ever feel in a river or got caught in a rip tide you should NEVER swim against the current or tide.  You will exhaust yourself and you will drown.  Look for a safe exit point and get out of the current as soon as possible and you will live to see another day.  The same can be said for investing. Do not swim against the current or tide and find a safe exit point.

I always try to keep things simple and not get into a sensory overload.  I like to be straight forward.

First I divide the Investing Market into 4 segments:

1. Stocks
2. Bonds
3. Real Estate
4. Alternative Investments

Next I use a very simple chart template with just 3 data points:

1. Weekly Price
2. Weekly Trend Seeker
3. 50 Week Moving Average

Lastly I only want to know 4 things about each segment:

1. Barchart Opinion
2. Weighted Alpha
3. Weekly Trend Seeker Signal
4. 3 Year Total Return

Let's look at each Investment Market Segment and see how that works:

Stocks - Vanguard Total Stock Market ETF VTI - 3,659 stocks

1. 40% Buy Barchart Opinion
2. 12.58+ Weighted Alpha
3. Weekly Trend Seeker Buy
4. 36.34% 3 Year Total Return
5. 

VTI (Barchart)

Bonds - Vanguard Total Bond Market ETF BND - 9,474 bonds

1. 8% Buy Barchart Opinion
2. 1.95+ Weighted Alpha
3. Weekly Trend Seeker Sell
4. (.91) 3 Year Total Return
5. 

BND (Barchart)

Real Estate - Vanguard Real Estate ETF - 156 REITS

1. 40% Buy Barchart Opinion
2. 8.36+ Weighted Alpha
3. Weekly Trend Seeker Sell
4. (.72%) 3 Year Total Return
5. 

VNQ (Barchart)

Alternative Investments:

Physical Precious Metals Basket ETF GLTR - Gold, Silver, Platinum and Palladium

1. 80% Buy Barchart Opinion
2. 27.79+ Weighted Alpha
3. Weekly Trend Seeker Buy
4. 25.02% 3 Year Total Return
5. 

GLTR (Barchart)

Crypto - Bitwise 10 Crypto ETF BITW - The 10 largest Crypto currencies

1. 24% Buy Barchart Opinion
2. 50.62+ Weighted Alpha
3. Weekly Trend Seeker Buy
4. 60.54% 3 Year Total Return
5. 

BITW (Barchart)

Oil - US Oil Fund ETF USO - Tracks the price of West Texas Oil

1. 8% Buy Barchart Opinion
2. (.32%)- Weighted Alpha
3. Weekly Trend Buy
4. 14.41% 3 Year Total Return
5. 

USO (Barchart)

If you follow these Investment Market Segments on a Monthly basis you should be able to see if we are in a Bull or Bear Market Trend, be able to see which ways the currents of each Segment is trending and know where to look for investing opportunities and what to stay away from.

Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.

If you think the information in this article is of value to you, please click on the little envelope in the upper right hand corner of the screen and let us know and I'll post an update at the end of each month.