O'Reilly logo

Technical Analysis: Power Tools for Active Investors by Gerald Appel

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

A Quick Review of Relative Strength Investing

Here is the three-step procedure for managing your mutual fund portfolio:

  • Step 1: Secure access to data sources that will provide you with at least quarterly price data and volatility ratings of a universe of at least 500 (preferably somewhat more) mutual funds. (Suggestions have been provided.)

  • Step 2: Open an investment account with a diversified portfolio of mutual funds whose performance the previous quarter lay in the top 10% of the mutual funds in your trading universe and whose volatility is equal to or less than the Standard & Poor’s 500 Index, or, at the most, no greater than the average fund in your total universe.

  • Step 3: At the start of each new quarter, eliminate those funds in your portfolio ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required