FAQ: I wanted to use this model in a 401K account. I am limited to 20 funds and have entered all of them and data into the model. Two of the funds that I am in right now are doing well but not in the Buy top 3, so I’m hesitant to exit them at this point – maybe a mistake. Should I move my money right away into the funds with Buy signals?

We’re not investment advisors, so can’t give specific buy/sell recommendations. However, we do suggest SLOWLY rotating your current fund selection into new funds as you start to see new BUY signals in the top 3. If you don’t see new BUY signals, then...

FAQ: A fund that was near the bottom started to move up quickly — does that mean it’s a better Buy candidate? Should I wait for something nearer the bottom to make a move rather than buying funds that are already in the Top 3 by relative strength?

It is not a good idea to “bottom pick” by only buying funds that move up from the bottom rungs quickly. The purpose of the model is to direct you into long term trends in the strongest sectors. While a fund that is moving up quickly may be heading into a...