The book shows how if the authors system was used over the past 50 years in the Dow the return would have been astronomical, getting in at almost the bottom of each bear market and out at days or months with in the peak. What is the secret? Interest rates, they are what drive the inevitable business cycles of boom and contraction. The author also recommends bonds during times of high interest rates, and Gold as an inflation hedge while the stock market is in a bear market. The book is fascinating and helpful, but difficult to follow at times. But the effort is well worth it. Here are some pointers to watch for market trends: If either long term or short term interest rates fall to their lowest level in fifteen months, it means that a powerful expansionary force has been unleashed that will propel the economy and the stock market much higher. In order for the the investment climate to turn hostile both the 90 day T-Bill rate and the AAA corporate rate must reach a seven year high. When both short and long term rates have recorded a seven year high, it is a surefire sign that the economy is becoming fragile and that a nasty stock market plunge is imminent. each and every bull market since 1946 began after the Dow had retreated to a two year low. The three bull markets during the last deflationary environment began after the Dow had sunk into a five year low. There is much more, buy and study the book to avoid getting clobbered in the next bear market.
Extremely accurate long term buy and sell method.
Published by Thriftbooks.com User , 26 years ago
His basic method (oversimplified) is to buy 25 months before every presidential election. Other criteria, interest rates and inflation, tell you when to sell. Lots of money was made by this method by buying in Oct '98 and Oct '94. Just look at any major index, or all of them. His major premise was stated in the early book, and updated in the "'90's" book. I keep looking for his next one.
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