See how a shockingly accurate MACD seasonal sell indicator skyrocketed my earnings and saved me from the May 6th “Flash Crash” and the worst of Europe’s sovereign debt crisis while I kicked back and did NOTHING.
Years reading dozens of books on stock trading and losing way too many shirts, finally brought about a life changing discovery: a seasonal MACD buy and sell indicator so simple it will shock you.
The “Best 6 Months Of The Year” in the stock market are: November, December, January, February, March, and April. The “Worst 6 Months Of The Year” are: May, June, July, August, September, and October.
After October 1st, plot a MACD with 8-17-9 for the settings. Enter the long side of the market on a MACD buy signal. That’s the official start of the “Best 6 Months Of The Year”. Only use a signal that occurs after October 1st.
After April 1st, plot a MACD with 12-25-9 for the settings. Sell or enter the short side of the market on a MACD sell signal. Such a signal marks the official start of the “Worst 6 Months Of The Year”. Don’t start looking for the MACD sell signal until after April 1st.
That’s it folks! Amazingly simple. Shockingly accurate.
The reason we use the MACD with these settings is that these are the actual settings recommended by the creator of the MACD, Mr. Gerald Appel.
Let’s give credit where credit is due. It was the famous trader Sy Harding and his book “Riding The Bear”, where he called this strategy the “best mechanical system ever”.
If you want to really dig down deep into how much money you could have made using this strategy since the 1950s, the Stock Trader’s Almanac offers website subscribers an online calculator that shows how well this strategy has done every year, applied to the Dow, Nasdaq, or S&P 500.
In this video lesson, I’m going to show you exactly how to chart and use this strategy. I will be using the S&P 500 and the charting tools of Stockcharts.com