Ned Davis’ Keys To Good Investing

Ned Davis Research provides some of the most interesting data and analysis you’ll find in the stock market, and in a recent interview with The Big Picture’s Barry Ritholtz, Ned Davis talked about some of the keys to his approach. Davis, who examines an array of technical factors, says that the biggest key to making money in investing may well be flexibility. Investors all have their own built-in biases, he says, and you have to… Read More

History Indicates Market Hasn’t Peaked, Says Hulbert

MarketWatch’s Mark Hulbert says that, if history is a guide, we’re not yet near the top of the stock market’s run. Citing a study from Ned Davis research, Hulbert says that historically sector performance has been a good indicator of market peaks. “The key is the average performance of the S&P 500’s sectors in the three months prior to past bull market tops,” he writes. “Since the early 1970s, Ned Davis’ researchers found, the two… Read More

U.S. to Get Younger — and Older — over Next Decade

In his latest MarketWatch column, Mark Hulbert takes a look at some interesting demographic trends and predictions that could impact stock market moves over the next decade. “For years now, there has been a drumbeat from economists about the increasing proportion of the U.S. population that is in or approaching retirement,” Hulbert writes. And that is indeed a powerful demographic trend. “But the increasing proportion of the population in the below-15 cohort is a powerful… Read More

Davis’ Tips for How to Identify a Market Top

How do you identify times when the stock market is nearing a top? Ned Davis of Ned Davis Research uses several metrics, and, right now, on balance, they’re indicating the bull market has more room to run. “There are a number of things about this market that concern me as a risk manager,” Davis recently said, according to MarketWatch’s Mark Hulbert. But, overall, Davis says he “leans bullish” for the time being. Davis, Hulbert notes,… Read More

Hulbert: Market Flashing Rare “Buy” Signal

Newsletter tracker Mark Hulbert says that the market has recently triggered a rare “buy” signal that has historically been a precursor to strong stock gains. The indicator is termed “breadth thrust” by Ned Davis Research, the firm whose data Hulbert cites in his latest MarketWatch article. The indicator flashes a “buy” signal when percentage of common stocks trading above their 50-day moving averages rises above 90%. The signal has occurred only 13 times since 1967,… Read More

After Getting It Right On Way Down, Ned Davis Now Turning Bullish

Ned Davis Research — one of the few investment companies that called for clients to move away from stocks well before the recent crash — is now calling for clients to shift more money back into equities, the Los Angeles Times’ Tom Petruno writes. Davis, which had cut its recommended portfolio stock weighting from 55% to 50% in July 2007 and down to 40% in January 2008, is now recommending clients reweight their portfolios so… Read More