What To Trade

The EquiTrend Stock Market Timing System can be used to trade almost any type of investment product, including stocks, mutual funds, ETFs, options, futures, and for management of your 401k. You can use EquiTrend to manage your entire portfolio, or just a portion of it. Several of our members follow the EquiTrend Growth Strategy to trade ETFs; others trade mutual funds from Rydex, Direxion, and ProFunds. Some actively manage a technology-correlated mutual fund that is part of their 401k plan. You may decide to trade index options or futures. In short, the decision is completely up to you.

The more closely correlated the investment is to the major indices, the better your performance will be. Ultimately, the investment product you use will depend on the location of your assets and your comfort level with the various asset classes. Remember, your objective is to reduce your portfolio’s volatility, while substantially growing your investment capital.




If you are looking for a market timing system with the highest overall return, then we suggest using EquiTrend to trade investment products that benchmark or track the Nasdaq 100 index (NDX). Of all the major U.S. indices, the Nasdaq 100 has the most volatility. In the “go-go 90s,” the Nasdaq increased the most—and in the millennium bear market, it fell the farthest. Using EquiTrend to tactically buy and sell/short this volatile asset is what produces such rewarding profits. If managed properly, assets that move the most produce the greatest gains. If you are looking to supercharge your investment performance, this should be your EquiTrend investment strategy.



When it comes to risk and reward, every investor has a different comfort level. We have spent many hours studying the best combination of indices to trade, and have determined that allocating your investments equally between those that track the Nasdaq 100 index (NDX) and those that track the Russell 2000 index (RUT) produce investment returns with the highest overall reward/risk ratio. We call this “one-two punch” the EquiTrend Growth Strategy. To implement this strategy in your own accounts, simply invest half your assets into investment products that benchmark to the RUT index and half that benchmark to the NDX.

Historically, the market usually favors either small caps or technology. Sometimes, they favor both. Since 1990, these two Indices complement each other like no other combination. If your goal is significant growth of your investment capital while minimizing your portfolio’s volatility, the EquiTrend Growth Strategy is for you.



The investment industry is constantly changing and evolving. A new ETF or mutual fund launches practically every week, so it is impossible for us to list every possible trading combination. Several of our members trade options and futures, and some institutional and international clients even trade swaps or contracts-for-difference (CFDs). Ultimately, the choice of what to trade is up to you and, as you probably are well aware, there are many investment products to consider. They all have one common thread: they benchmark or track their returns to one of the above-listed indices.

From a performance perspective, the most important consideration is the trading flexibility of the asset. Of all the possible alternatives, mutual funds are the least flexible—generally, you are allowed to trade them only at the end of the trading day. In the United States, if you want to take a short position in your retirement account, buying inversely correlated mutual funds, put options, or shorting financial futures are your only choices. So once again, what you decide to trade will depend on a combination of your trading knowledge, the location(s) of your assets, and your comfort level with various types of investment products.

Many of our clients trade ETFs and mutual funds. To assist you in implementing EquiTrend’s market timing signals to improve your investment performance, we’ve included a table (below) that lists some of the mutual funds and exchange-traded funds that benchmark to the NDX and RUT indices. With mutual funds, you should select index and inverse funds to purchase based on the EquiTrend signal (Buy/Long or Sell/Short).

Please be aware that many of the tradable mutual funds trade with leverage.  It is important to understand the implications of this leverage to your portfolio.  It can be used to reduce your risk by allowing you to hold a higher percentage of other non-volatile assets such as money market funds while still getting full position exposure to the market. Or it can be used increase your exposure (increasing both risk and reward).  Whether you use the inherent leverage in the funds to reduce your risk or to  increase your risk is an important consideration in choosing funds to trade and choosing how you will allocate your portfolio.  Equitrend does not provide this kind of portfolio specific advice, but we do not want our subscribers to select funds and allocate their portfolios without considering the implications of fund leverage.










Your decision to join the EquiTrend community will be among the most financially rewarding decisions of your investing career. Following our industry-leading market timing signals is a simple, stress-free way to grow and protect your precious investment capital. If you have questions regarding our service, feel free to contact us at .

Thank you for evaluating the EquiTrend Stock Market Timing System.