Hi Clive
>>>>At the top level (market-wide AIM), when a AIM buy occurs buy the stock in the strongest sector having the strongest price relative strength, no matter which sector may have generated the buy signal. When a AIM sell occurs sell the weakest price relative strength stock from the weakest sector, no matter which sector may have generated the sell signal. The measure of price relative strength can be easily performed by comparing the capital values at the time for each individual sector (providing equal amounts were originally allocated to each sector at the offset).<<<
I am not questioning whether the above would work any better or not but I am just questioning the logistics.
At the first buy or sell it seems simple. But what happens at lets say the second sell?
One stock in one sector is already going to have a larger value so is more likely to get the next buy money also unless you calculate the RISE in value since the LAST buy. That seems a lot more time consuming to calculate than using just the absolute value and change from the start.
Does the above question make sense ?
Anyway if we AIM stocks / funds separately the ones that are the most volatile will grow the largest but nothing will sell out. The ones that go up in a straight line without sells will probably not be the largest but logically are the ones most likely to have a large correction EVENTUALLY.
Toofuzzy
Take the road less traveled. It will make all the difference.