I'm glad you mentioned this. The Advantage software is definitely suited for stocks but not funds. It's best used with companies that have cyclical earnings such as NSM, STKL, etc. The stock doesn't have to have options, but does need to be volatile.
My motto is, if I ever start to wonder if a stock is the right choice, just follow the model (referring to Lichello's 10,8,5,4,5,8,10 model).
Ryan
I still have to look at the software, but if I understand the short blurb on the underlying premise doesn't it sound somewhat like trying to pair a long and inverse pair of funds against each other, switching between the two as they move? I recall we negated the long-term effectiveness of such due to the historical long-term upward bias in the market overall. So in the short term it might work, as would a chicken crossing the rail tracks. It's that "SPLAT!!" that gets you.
Best,
AIMster
