Would you like to know the opinion of a dozen top Market Analysts before
you make your next trade?
Harry Schiller's market timing system, whether short-term
or intermediate-term, relies to a great extent on the signals generated
by the many advisory services he monitors. The Short-Term Consensus
Hotline is indebted to the many advisors who
have made their hotlines and newsletters available to Schiller over the
past twenty years. Schiller monitors the daily and often intraday updates
provided by such notable analysts as Peter Eliades, Glenn Neely, Steve
Todd, Steven Hochberg of Bob Prechter's Elliott Wave Theorist,
Gerald Appel, Bob Carver, Tom McClellan, Larry McMillan, Bernie Schaeffer,
Dan Sullivan, and Helene Meisler.
The Short-Term Consensus Hotline reports the
buy and sell signals of these advisors and others, in addition to reporting
on general advisor sentiment through Investor's Intelligence
and Timer Digest. The greatest benefit of reviewing these signals
is in identifying market turns of significance. That is, when several
advisors who were on sell signals flip to the buy side, this typically
constitutes a short-term buying opportunity. The converse of this is true
at short-term tops. Schiller looks for extended markets and a "shift"
of sentiment from the buy side to the sell side to trigger his sell signals.
Of course, sentiment is also useful
as a "contrary indicator," and, as such, is a critical element
in Schiller's methodology. Accordingly, he watches put-call ratios, overall
advisor and investor sentiment, and the volatility index (VIX). When sentiment
reaches extremes, Schiller looks for moves in the opposite direction.
The VIX has been one of his most useful indicators in calling turns of
significance over the past several years.
Another ingredient in Schiller's formula is the market's
overbought/oversold condition. When the market reaches
extremes, Schiller looks for opportunities to trade against the recent
move, though generally trading with the larger trend. For example, in
uptrending markets which have become oversold short-term, Schiller looks
for buying opportunities.
Support and resistance levels are also
a key component in Schiller's analysis, whether positioning for the intermediate
term or buying in the futures market for a day trade. Accordingly, Schiller
has turned the study of gaps into a science. He utilizes
this most important element in his trading on a daily basis.
Schiller's Short-Term Consensus Hotline
provides recommendations utilizing a variety of time horizons and risk
parameters. For the risk averse, Schiller offers mutual fund
switch signals for the intermediate term. For those seeking aggressive
trading strategies for the short- to intermediate-term, but with a focus
on hedging and risk management, his index options reports provide recommendations
in OEX, QQQQ, and Dow Jones options. Equity option recommendations are
provided as well. Finally, his futures trading section, updated several
times a day by phone and email, is his most speculative and short-term.
In this futures section, Schiller recommends specific trades, generally
in the S&P Futures (E-Mini Contract), the Mini-Nasdaq 100 or in the
S&P Options.
For those subscribers who would like personal consultation
and continuous access to Schiller's resources, a limited number
of brokerage accounts are currently available through
optionsXpress.
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