- Sector weights relative to a market benchmark can make a major contribution to investment performance.
- My research shows that in many cases, changes in sector rotation can be analyzed effectively.
- This involves both fundamental and technical analysis.
- The technical component must involve the identification of proven buy and sell signals, rather than relying on standard technical indicators such as stochastics.
- In addition, sector rotation must be viewed in the context of overall market conditions. I have developed methods to address this issue.
- Please click this link to the article entitled “Sector Rotation” in the “Excerpts from White Papers” section for a more detailed discussion.