Green Light!

The bottom is here.

There's a fine line between crazy and genius.  Here's why I'm scaling into my 3x Bullish DJIA ETF:

1) The RumWave chart has reached the "buy signal" criteria
2) The DJIA and SPX are in the vicinity of the 61.8% retracement level (the SPX has 10 more points or so to go)
3) We are post election
4) There is tremendous sentiment to "rise above" partisan politics and solve the fiscal cliff
5) "The time to buy is when there's blood in the streets" (Shoutout to Gau for this one)

The RumWave chart is not at absolute zero, so there is still some room for decline.  That is why I'm scaling into my position.  I can't say that we won't see another day or two of weakness.  What I can say is that 10-20 business days from now the DJIA will be higher than it is now.  Time will tell!

Scores:


I may change one of the variables that go into the scores that I calculate each day (above).  There's one that has really been skewing the results to the low side during this decline.. I may have to get rid of it or at least adjust it once we start recovering.

TSP GAMEPLAN:  C and S fund!  It will take a day or two to complete the movement due to the mutual fund trading style of the TSP.

GOOD LUCK TOMORROW!

Questions, comments?  Email me:  rumwavetrading@gmail.com