Sector Investing

[Y worry Murray]

Very nice trade RtS. I have often wondered if one traded a "market neutral" strategy by going long for the forthcoming week last week's strongest sector and going short an equivalent value of last week's weakest sector by way of ETFs if one would be successful over the long haul. It seems too easy and simple to be profitable but I figured if anyone knew the answer to this question it would be you.

If this strategy doesn't work would it be of any benefit to swing trade long last week's strongest sector and short last week's weakest sector? I presume that it is dependent upon this week's sector performance being a continuation to some degree on last week's for both strategies. Maybe there is little potential for continuation as last week's strongest sector is already over bought and weakest over sold.