Hi Qarel, I would be interested in your spreadsheets, if you could email them to me, I would appreciate it. I am interested in how you used the cosine.
I think this is the first Long term, fine detail look at the Lichello cycle, and it is bringing attention to what I conceder to be a important point.
Bernie has long been a believer in buying once a month. Tom on the other hand has been using GTC orders set to the next buy and sell point. It may be that using a GTC set to the next buy point is not a good idea, it may be much better to set it to at least 10% below the last buy or some other percent.
In the original Lichello cycle, you have a drop from,
10 to 8,a -20 percent
8 to 5, a -37.5 percent
5 to 4, a -20 percent
And you have raise's from,
4 to 5, a 25 percent
5 to 8, a 60 percent
8 to 10 a 25 percent .
As you can see you have lots of room between the buy's and sell's. If I am reading your statement right, the closer the consecutive buy's or sell's are to each other the worse AIM performs.
Come see me at Systematic Investing group #board-966 lets talk formula plans.
