Sorting and Finding

So your bullish (or bearish) overall and you are looking for a fund, an ETF to buy or to short. How do we go about finding what you are looking for. Of course you could revert to one of our systems approaches or you could decide on performing your own research.

First step is going to the link Databases and Charts in the top navigation. From the page that opens we scroll to 1,050 ETF’s. It’s come down a little since the 1050 because of closures. Download the Excel Spreadsheet. If you sort the total spreadsheet by, let us say, change today. the leveraged 2X and 3X funds will undoubtedly cover most of the top changes. Maybe you are looking for a leveraged ETF but then maybe not. If not, then let me sort by the category code, in any order you desire.

For today’s exercise I am going to look for equity ETF’s only and no leverage. Staying on the ETF analysis page, scroll down to ETF Classifications:

Screen Shot 2014-08-12 at 9.42.56 AMThe codes that begin with EQ are equity ETF’s. There are 26 category codes that deal with equities so I will separate those out into a new spreadsheet. This sort has narrowed our 1050 ETFs down to 455. Better but still a lot.

Next I am going to sort the sheet by column Q Relative Strength overweight/Underweight. I could do a multiple column sort but I want to make this as understandable as possible.

I am going to delete the Market Performs or MP because we want to buy the strong and sell the weak. I have 178 overweight ETFs and 172 underweight. Since the exercise today is looking for a buy let me delete the 172 and leave just the overweights.

Next sort is by the DTI column R (ascending), this of course is Victor Sperandeo’s diversified trends indicator. Then by Column (X) accumulation/distribution in ascending order. Finally by Columns (K and L) in descending order.

We have now narrowed our list down to 17 ETFs from the original 1000+, in about 10 minutes or less. The sorts in Microsoft Excel 2011:

Screen Shot 2014-08-12 at 10.24.28 AM

China, Latin America, and real estate pop right off the page, at least to me. While any of these ETFs may be buys right here at the market or not they are certainly worthy of watching for your buying criteria.

Screen Shot 2014-08-12 at 10.29.34 AMClick picture for a full sized image.

Talking Points and Why Stocks Will Trade Sideways in 2015:

A new Golden Age of demographic growth (Cam Hui)
How to Be Smarter About Risk Management (Morningstar)
Three Investing Strategies to Use — and Not Use — in a Correction (Financial Post)
German Locomotive Losing Steam  (Cumberland)
Monetary Equivalent to Schrödinger’s Cat (Alhambra)
Do Risk-Adjusted Returns Matter? (A Wealth of Common Sense)
Taxes don’t lie (Scott Grannis)
The Bottom Line by Carl Icahn (Yahoo Finance)
50 Million New Reasons BuzzFeed Wants to Take Its Content Far Beyond Lists (NY Times)
David Rosenberg: Market correction? Was that it? (Financial Post)
Yields on 10-Year Treasuries Fall, Confounding the Experts (DealBook)
Smart Investors Ignore the News (Marketwatch)
Higher Housing Costs Aren’t Likely to Fade Soon, Cleveland Fed Study Says (Real Time Economics)
Why Surveillance Companies Hate the iPhone (The Switch)
Computational Linguistics of Twitter Reveals the Existence Superdialects (MIT Technology Review)
Piketty and the Randomness of Wealth (FT Alphaville)

Why Stocks Will Trade Sideways in 2015

Have a Great Evening!