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How Big Money Stays Big Money
If you have a whole lot of capital to deploy, you can’t count on making money by happening to pick great opportunities here and there. Better to drive gains via stock or sector rotation - accumulating at the lows, signalling a move up in order that late buyers can come in and bid your holdings up, then distribute at the highs and once you’re done selling, allow the stock to fall to earth as there are few buyers left to take part in the auction.
The idealized but still useful motif for this method is the Wyckoff Cycle. We base all our long-term investment work on this method, to good effect for the most part. If you’re new to the Wyckoff Cycle and how to use it (it can work for any account size … all you are trying to do is follow in the steps of Big Money), take a look at this video where we explain all.
In staff personal accounts we look for opportunities to gain as markets and sectors move up, and as they move down. We have no particular directional bias, no bull or bear religion, we just like to find ways to bank gains where we find them.
Many sector and index ETFs look bullish to us at present, which is to say they were heavily beaten up through 2022 and have recovered since Q4 ‘22 - and look like they can keep moving up.
We thought you may be interested though in a short opportunity we are presently pursuing - this is in one of the SPDR sector ETFs. We arrived at the opportunity using the Wyckoff Cycle method above, combined with our favored Elliot Wave & Fibonacci chart method.
For our paying subscribers here at Cestrian Market Insight only, we walk you through the idea below. If you’ve yet to become a paying member here, you can do so right from the button below.