20110808 Timer Commentary

In case any subscribers were wondering, we have been in 2x funds long for this ride down. We have not blinked, expecting a bounce and and waiting for the timing models to signal a change in position. Of course, it would have been much better to have been short during this drop, but we are following the discipline we believe is required for any system.

Disclosure: we are switching to use the Climber model at this point. This is about our brokerage more than anything else.

Twenty-six months ago, we mentioned a double-dip recession on the blog. Fourteen months ago, we still thought it was going to happen, even as we were amazed at the trillions of dollars the Fed was pumping to avoid it. This late in appearing, it doesn’t seem all that rewarding being right.