The late trading by Janus, Bank America and several other
well known mutual funds is falsely being called market timing.
Wall Street, better known as Maul Street to most investors,
does not want to you to find out about market timing. The reason is very
simple. If you learn to sell you might take your funds and do something
intelligent with them.
First let's understand what market timing is. Very simply it
is a proven method that gives signals to buy and another signal to sell. Many
of these methods are associated with stocks and mutual funds yet there are
those that signal overall market conditions. We are on the verge of another
sell signal for the general market and several market timers have already given
those signals to sell. There are many excellent systems and they all beat the
Wall Street lie of Buy and Hold. The key to all market profits is selling not
buying.
The criminal acts of the mutual funds had nothing to do with
this method. The hedge fund managers knew the stock holdings of the mutual
funds in question and AFTER the market closed companies would make
announcements of their earnings, new products approved by the FDA, legal
actions, etc. that would definitely impact upon the stock price the NEXT day.
If it was good news the fund would allow big money players to place their
orders after all official trading stopped. That's 4:00PM New York time.
The fund price might be $20 per share, but depending upon
the amount of stock in their portfolio it might make the settlement price the
next day as much as 5% higher. That doesn't seem like much, but if you had
shown a purchase of 10 million dollars on the close that day and sold it out
the next day you would have a profit of $500,000. That is money removed from
the fund that belongs to the shareholders. This is NOT timing. This is fraud
and the parties should not only repay all those stolen monies to the fund, but
should also see jail time and be banned from the industry for life.
If you want to find out more about market timing type in
'market timing' on your computer and do a search. There are scores of them, but
you must do your due diligence to be sure that what they are telling you is
true. Always ask for references. Make them prove what they say. Don't bother to
ask your broker as he will tell you the Wall Street lie that it doesn't work.
Because of the precarious nature of this market I encourage
you to look into this NOW.
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