A.I.M. Users Bulletin Board

[Toofuzzy]

Hi Vitaali

Over the short term the stock market is like flipping a coin. On any one day it can either go up OR down.

Since the beginning of the year ( or before) you could have thought the market was getting toppy but it just kept going up. Then it started to roll over with the virus scare. Then you might have thought we were finally going to have a significant pullback and what does the market do today, it goes up enough in a day an amount I would be happy with in a MONTH !

So in general I think of it having a 50/50 chance of going up or down. Aim starts with 50% cash.Yes starting with a different amount at certain times would be " BETTER " but you don't REALLY know when that is. It becomes data mining.

So along comes the V wave ( which doesn't answer how much cash to HOLD, Aim does that ) which answers the question " If the market is at the top of a cycle ( or at the bottom ) and I want to start a new Aim account NOW !!!!, what would be a reasonable amount of CASH + - 50% to START with.

So based on the calculations embedded in the V wave it suggests anywhere from 20 to 80% CASH to start with.

Since we are obviously closer to the top of the market than the bottom the V wave is reccomending a little more CASH to START with. Once you start the account, you let the Aim algorithm decide how much cash to hold.

Toofuzzy