The US market's uptrend came under pressure 11th Aug, correction on 24th Aug. To me, this 'uptrend' was not significant enough to position trade. IBDs ratings do not work in a trendless market. I do not yet have this crucial skill to judge the state of the market (up, down, trendless) without hindsight.
However, following IBD does work well in a bull market. The previous examples I saw were from bull of 2003-2004. Waiting for a FTD, when the (brief) corrections are over, buying stocks that did not fall would have been profitable then. I'll keep my subscription to IBD while I see if I can learn to judge the markets better.
I have done nothing since June. Zero gain, zero loss. Right now, I do not know if the current market is still in a trading range, or correcting.
I am not cut out for swing trading, especially with a full time job. Position trading is difficult as I can't judge the market. I am changing my strategy to wait for stocks to be cheap, similar to end-08 or the 2001-2002 bear market. I may have to wait another 5 years....
Resist the urge to do something....
[Update: 13th Sep 10]
There was a FTD on 1st Sept. I am still doing nothing.
Is the Nasdaq Topping Out?
1 hour ago