Two words on the Market Trend

Long and Short have little in common:

Long for the bulls:

• Long capital gains are cumulative and unlimited
• State signals (entry points) are valid for long periods based on the triptych (market/fund – GICS sector – security)
• Handling positions for big gains requires a strong hand and to keep posture while tuning exposure during overbought / oversold episodes (Slow dynamic with stressing corrections)

Short for the bears:

• Short capital gains are limited in nature and erosive
• Opportunity signal (linked to volatility) with short term validity
• Make use of successive falling windows acting as a means to re-initialise positions and potential gains
• Take advantage of a fast dynamic which is reset and rearmed through pullbacks and successive windows