Cheetum Market Indicator

Here a quick tutorial on how to follow along with the Cheetum Method...

Look over to the left under the 'Cheetum Market Indicator' heading.


If you see this picture of the bull and bear getting along, it means that the NO TRADE signal is in effect; NO trading of the QID or QLD at this time due to conflicting indicator signals. If this happens, set your stops or get out of the trade because it's every primate for himself!



If you see the monkey pointing to the QLD sign, this signals a BUY and it is the QLD we will be buying until your stop is triggered or the signal changes to something else.

The CMI 3.0 does not use stops. How's that for trusting a mechanical trading method? Setting of stops will be left up to you.

(Use of stops for CMI 3.0 is under consideration at this time.)




Finally, if the monkey is pointing to the QID sign, this signals a SELL which in our case is a buy of the inverse exchange traded fund, QID. Hold until your stop is triggered, or the signal changes to something else.

The CMI 3.0 does not use stops. How's that for trusting a mechanical trading method? Setting of stops will be left up to you.

(Use of stops for CMI 3.0 is under consideration at this time.)


If you are stopped out of the trade and feel the need to jump back in, the rule of thumb is to not go against the prevailing market signal. For example, if the signal is still bearish (QID), it is not recommended to buy the QLD on the retracement. This does not mean you cannot make a profit if you do. It's just prudent to not overtrade the system. Allow the mechanics of the Cheetum Method to do the work.

This post has been updated on Jan 7, 2011.