The following short video clip illustrates the Multiple Time Frame of RSP (S&P Equal Weighted ETF) State of Trends and it Short, Mid, Long Term Stock Distribution.
It is a good tool to emphasize the importance of Aligned "Windows of Opportunity" in the three Time Frame.
Points to Ponder: How can the Old Man in Berkshire Hathaway Outperform the SPY in this period of time?
The first chart shows the Locus of the last 50 Trading Days of BRK-A performance in the Last Day of S&P 500 Stock Profit Distribution Chart (Short, Mid, and Long Term)
The second chart shows the BRK-A benchmark with SPY.
Well, many articles floating around saying the old man is holding tons of CASH. Well, this can not be the case, because, if SO, the BRK-A will just hover around the 0% in the X-axis.
Now, by benchmarking BRK-A with Gold and Silver Future in chart 3 and chart 4, looking at the Long-Term Chart Correlation, it is a very good “educated guess” that the old man holds quite some portion of these things…
Chart 1. Berkshire Hathaway (BRK-A)
Chart 2. BRK-A vs SPY
Chart 3. BRK-A vs GOLD
Chart 4. BRK-A vs SILVER
Chart 5. Just a Typical Textbook Long Term Market Profit Distribution Chart
---------------------------------------------- Add on @ 7 Apr 2025 ---------------------------------------------
Points to Ponder: IS IT A GOOD OPPORTUNITY TO BUY NOW?
* Just after a day of little resistance from further dropping in the stock market, people are starting to talk about the OPPORTUNITY for BUYING at the Bottom!?
After a long Bull Market, most people forgotten that the market can continue to go down for up to 10 years. Since the market is now in Down Trend, who can predict when will be the next change of trend?
* The Time Proven Dow Theory can actually help to see a Clearer Picture.
(Well, this is just a little part of Dow Theory)
* Now, assuming The Dow Theory can help, the next question would be "What are the Transportation Indices?"
* Let See if those Transportation Confirm it is now on Down Trend? The following Charts are Transportation ETFs. Indeed, they actually leading the SPY.
* So, if you want to have Foresight, learn it first from the Hindsight.
* By the way, you don't need to have such a tool to do the Analysis. This tool is created for education purpose, and you don't keep flipping chart like this to select stock/ETF. You can simply use MA and ROC(Rate of Change) to know the Trend and Strength...
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