The VSTpro has signaled a SHORT signal at the close of Friday. When considering the 20DMF is still LONG, then my Combo-MF model would go to neutral (CASH) because of the conflict between the two models. I am still considering the 20DMF (based on my personal conviction) to be LONG since the launch of QE3.
The models XLB and XLF have both a SHORTED OVERBOUGHT signal. The basic rules of my strategy would suggest going short for these models. I will not follow this because, in my humble opinion, both these trades have had a length when the "juice is out of the bottle".
The models XLI and XLK are in CASH so no need to do anything.
The XLY model has a SHORTED OVERBOUGHT signal. The statistics of my back tests have learned me that following a SHORTED OVERBOUGHT signal for the XLY model is not beneficial if the 20DMF is not SHORT.
Conclusion: I will close the open long trade in TQQQ and do nothing else. The odds for the VSTpro to signal a new LONG signal are strong. Let's wait and see
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