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Guest: Mr. Ike Iossif, President/Chief Investment Officer

Aegean Capital Group, Inc.

Market Timing On A Risk Adjusted Basis

 

This interview took place on 11-15-01, and thus, the following charts are in reference to the forecast on 10-21-01, see October Newsletter, and Market Timing.

 Our proprietary forecasting model,  has produced two scenarios for the next 3-5 weeks. On the bullish side we have a target of 1850, and a probability of 40.83% to materialize, and on the bearish side we have a target of 1500 and a probability of 41.65% to materialize. NOTICE that the ratio between the bearish and the bullish probability stands at   1.02:1 (41.65% divided by 40.838%) thus producing a "neutral" signal. (The red line represents the most likely price action to take place on the way to reach the target price. The ratio means that it is just as likely  likely -at the present time- for the index to fall to 1500 as  it is to rise to 1850. 

Our proprietary forecasting model,  has produced two scenarios for the next 3-5 weeks. On the bullish side we have a target of 1150, and a probability of 39.27% to materialize, and on the bearish side we have a target of 955 and a probability of 40.82% to materialize. NOTICE that the ratio between the bearish and the bullish probability stands at   1.04:1 ( 40.82% divided by 39.27%) thus producing a "neutral"  signal. (The red line represents the most likely price action to take place on the way to reach the target price.) The ratio means that it is just as likely -at the present time- for the index to fall to 955 as it is to rise to 1150.

Our Market Positions:
Dow: Neutral,SP500: Neutral
NASDAQ:Neutral 

TRADING STRATEGY (see "Trades")

Wednesday 10-31-01 11:16AM PST
In out trading account (per 100k of funds  we SOLD SHORT 400 shares of DIA@91.52 and BOUGHT LONG 300 shares of BBH@128.35

 

AS OF 11-9-2001 

 

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