Technical Analysis

Active Allocation is the cornerstone of our Technical Analysis investment philosophy. We believe there are times to be fully invested in the markets (wealth accumulation), and there are times when your portfolio is better served when it is held in the money market fund (wealth preservation).

Supply and demand dictates the price of everything. When everyone wants something, we call it priceless - When no one wants it, we call it worthless! This applies to everything that is bought and sold, including stocks.

Our strategy is based on Point-and-Figure Charting that was invented by Charles Dow in the late 1880's. His idea was to track the price of the stock on a graph to logically measure the supply and demand it generated. We also use Point-and-Figure charting to measure the "bullish percent" of key market indexes. The "bullish percent" is the percent of stocks in an index that are on a buy signal. This serves as our guide to tell you whether to be in the market or out of the market.

We access real-time information online via Dorsey Wright and Associates, Inc. to provide us with data on over 15,000 stocks and mutual funds. They also provide us with their Relative Strength Measurement. This measurement compares an individual fund to the market and provides us with the probability of its outperforming the overall market. We incorporate the Relative Strength Measurement tool to answer the question, "Are we in the right mutual fund at the right time?"

Our active allocation program allows us to invest your portfolio in the highest technically rated funds. By investing in the right funds at the right time we are better able to meet your financial goals. We reduce the risk by ACTIVELY reviewing your positions each month.