Welcome Readers!

From the both of us, Toni and Gordon, we want to say thank you for purchasing this book. It has been a labor of love born out of our work with students over the years. We hope that in the pages of this book you will find low-maintenance ideas for growing your retirement savings over the years in a safe and sane manner. This book isn’t about playing the speculation game, it is about making your money grow on a steady basis. Please feel free to leave your comments on your impressions of the book.

We wish you all the best and hope that every investment you make is a winner!

Toni Turner and Gordon Scott, CMT.

20 Responses to Welcome Readers!

  1. John Custer says:

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    In your book on page 192. The two figures (9.4 &9.5) both show GO marks with the same distribution, 70% stocks / 30% bonds, but are at opposite ends of the bar. Is this an error or am I confused?

  2. allen says:

    I am only about halfway through the Invest to win book, so my question my be premature. However I am setting up my stop and go chart for the SPY and in adding the ATR indicator. Is there a proper setting for this or do I use my default of 12?

    • Gordon Scott says:

      You can use the default of whatever system you are working with. Most charting programs default the ATR to 14, which is what we used in the charts. But 12 would work just the same.

  3. Jeff Mills says:

    Great book! About 90%of my investing account is in long term investments, so I will apply your technique to those. However, I trade the other 10% on intermediate signals, usually incorporating the 50 day moving average. Do you think your technique using the ATR and SPX vs DJU will work on this shorter moving average?

    • Gordon Scott says:

      This will get you in and out of the market with a greater degree of frequency and may not have the accuracy you want. I’d suggest using a 50-day MA on the AUD/JPY currency pair instead of XLU. That would probably be more reliable for your time frame.

  4. Jeff Nevin says:

    In Chapter 10 “Customized Investing” with Charlie’s example are you saying that he should only commit 2% a position of his total portfolio balance up to a maximum of 6 positions? If so, what is Charlie doing with the other 88% of his portfolio?
    Same with Rita’s example, her 5 stocks would only account for 5% of her entire portfolio if she is risking 1% per investment.

    It would be helpful if you could show a math example for the risk management calculations in Charlie’s case given a hypothetical order price. Or in Rita’s case given a ficticous stock price. Thank you.

  5. Gordon Scott says:

    Jeff,

    The amount risked is different from the amount invested. Rita might buy $5,000 worth of stock, but if she place a stop-loss order on the stock, she isn’t risking all $5,000, she is only risking the difference between her entry and her stop price.

    So as an example, if she bought 100 shares of a $50 ETF, and placed a stop loss at $47, then she is only risking $300. This would be just right for a $30,000 account. $300 is only 1% of $30,000, so that’s how she controls the risk.

    Does that help?

    • Jeff Nevin says:

      Thanks for clarifying that for me. Is it possible for the ETF’s listed in your STOP and GO sign markets to gap down past a set stop loss so that you could lose more than you planned for?

  6. Paul Raymond says:

    Greetings Gordon,
    I am currently enjoying reading your book!
    Just received your eMail on Gainmaster’s Current Market Mood and info shows for February, however I thought it would be for April?
    Regards

  7. Kevin says:

    In determining the mood of the market, on pages 74, 76, and 78 you have the S&P 500, ATR, and the Dow Jones Utility Average all lined up for easy reading on top of one another. Where can I go to get those all lined up on the same page?

  8. Jim says:

    Rita’s stategy (table 10.10) involves evaluating the market’s mood once a month, and it uses a stop-loss/trailing stop to manage risk. If the stop is hit mid-week, would you sell the stock immediately, or wait until the end of the week/month to see whether the weekly/monthly closing price is above or below the stop?
    Thank you.

    • Gordon Scott says:

      The simplest way is to sell immediately and let that position sit in cash for the rest of the month, then refill the position at the beginning of the next month. If you are more active than this you may get better results in the short term, but now it starts to creep into a more time-consuming activity with weekly and then daily market watching–which is fine, but that wasn’t the point of the book in the first place. Low-maintenance strategies. Research suggests that people who check their investments less often do better over the long run. That is because their lack of activity allows trends to develop and flourish. However negligence is not the answer either, just ask anyone who was “patient” with 2008. It is always a balancing act. The strategies we laid out in the book seek a happy medium.

  9. Dave McCann says:

    I highly recommend your book. I am rereading it for the third time and it is really sinking in now. It gives me confidence for 2014 knowing the market mood every month.
    I have two ira’s, one for investing and the other for short term(swing trading). Do many people swing trade using the ETF’S in this book? I spend a lot of time looking for stocks to trade and think maybe if would be easier to just use ETF’S.

  10. Dave McCann says:

    I highly recommend your book. I am rereading it for the third time and it is really sinking in now. It gives me confidence for 2014 knowing the market mood every month.
    I have two ira’s, one for investing and the other for short term(swing trading). Do many people swing trade using the ETF’S in this book? I spend a lot of time looking for stocks to trade and think maybe if would be easier to just use ETF’S.

  11. Gordon Scott says:

    Hi Jim,

    You can do it either way, but the immediate sell tends to give you better results in a turbulent (STOP-sign) market, and the end of the week or end of the month sell will give you better results in a bouyant (GO-sign) market.

  12. Joan says:

    Where can I find all three indicators (Go,Stop) on one website?

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