TC, thanks for plugging in the numbers and the graphs. The pictures certainly don't lie. I think maybe the potential gain not realized by selling early at 50 is being counteracted by reversals above that number but lower than some higher limit that is never reached, thus forcing you to ride it all the way down. The way I was looking at it, hitting 50 was an alert to pay closer attention, and then to use a volume decline of 15% based on a simple 5 day moving average or look for an appropriate candle pattern (spinning top or doji) to confirm declining buying interest. The biggest flaw I see with the VTO system being used exclusively has been demonstrated the last couple of weeks. Successive sell signals without an intervening buy, which means you are out at a time the market is rising. That's what I like about CSCGOS, though. The numbers generate the signals, and then you can choose to act on them or not, paying the price of course for your decision. Right now, I'm in a quandary. The bull/bear discussions are certainly worrisome (i.e. they both can't be right), CSGCOS says to stay long, VTO says to sell/short, and my gut tells me we will see some sort of a modest pullback since EOQ has past and the Big Boys will be more apt to let the market seek its own level.
AI
