A new month doesn’t make a difference to the indecisive nature of the current market. It opened well and added to gains throughout the morning, only to give most of the ground up over the course of the afternoon. Closing near the days lows, the XJO managed a small gain of 11 points. Sectors were mostly up by small margins with Gold and Health the only ones to close lower. Price action was enough, however, to switch the ASX Systematic Portfolio back on for the first time since early August. As followers of systematic trading we simply adhere to it and take any signals. Being built on price action it doesn’t know what we think about the market, nor does it care. It does not matter if we think the recent lows will be tested, or if the market is overbought or oversold, nor does it matter what has transpired in the market over the last month – we just take the signals as they come. Followers of the Growth Portfolio still have some waiting to do – the market has another 125 points or so of work to do there.

Similar stock trading tips:

1. Thursday 14th July, 2011
2. Thursday 9th June, 2011
3. Thursday 21st July, 2011