I am sure you realize that what goes into the RIX Index is proprietary. I will tell you this. Each day I mathematically calculate a number that represents the trend of the market for that day. The metric is cumulative so you will be able to see the trend developing. I do this for the NYSE and the NASDAQ. As a subscriber, I will be sending you a Newsletter every Friday, which shows you the readings for every day in that week. On Wednesday I will send you a Mid-week Report that shows the readings for the first 3 days of the week. When I issue a Buy or Sell Signal I will send you an e-mail on THAT DAY. There is no guessing or predicting. For the NYSE I need to see a +12.0 to get a Buy Signal and -12.0 to get a Sell Signal. For the Nasdaq it’s +6.0 and -6.0.
When I issue a Buy Signal on the NYSE, for example, the metric can go as high as it wants, I’ve seen it go as high as +50.0 in a very powerful sustained up market. It can then go down to -11.9 and I still will not consider it a Sell Signal until it hits
-12.0. This is very important because we have seen it get very close to Sell Signal levels and then rebound. So it acts as a filter to avoid frequent unnecessary signals. The RIX Index is constantly attempting to move toward equilibrium of 0.0.
So if we are above zero and the market has a series of days where the market goes nowhere, the RIX will move gradually move toward zero and the reverse is true if we are below zero.
For the past 40 years I have averaged 3 round trips a year , so it identifies Intermediate Trends. You can view my historical results here. Note the number of Signals each year and particularly note the number of days in and out of the market. If you are familiar with any good or bad years, you will see that the RIX keeps us in up markets, and more importantly, keeps us out of major drops in the market. Trend Following does not get any better than this.
You might want to read my good friend Michael Covel’s book “Trend Following” New Expanded Version. Going with the trend will give you a decided ADVANTAGE. As you read my Newsletters and become familiar with my approach you will realize that there is not a better timing service out there. Timer Digest ranks me in their Top Ten Timers List and Business Week calls me “The Zen of Market Timing”. Tobin Smith says, “Jim Rohrbach is the best market timer in the country”. Thank you for your interest in my service and I know you will enjoy my precise Signals and I am sure you will be the only guy on your block who really knows the trend of the stock market.
You can subscribe online by clicking here or call me Toll Free on 877-658-9070 I answer my own telephone.