{"product_id":"stoccomv2014","title":"Stocks \u0026 Commodities V. 20:11 (14-19): Letters to S\u0026C","description":"Letters by Technical Analysis\u003cbr\u003e\u003cbr\u003eWAITING FOR THE FED\u003cbr\u003e\u003cbr\u003eEditor,\u003cbr\u003e\u003cbr\u003eCan you clarify a point\nin the article Waiting\nFor The Fed by David\nPenn, which was published\nin August 2002\nissue of STOCKS \u0026amp;\nCOMMODITIES? Does Mark Bouchers\nsystem keep out of stocks if the T-bill\nrate is lower than the prior year? I got\nconfused in reading the description of\nthe system and the commentary.\u003cbr\u003e\u003cbr\u003eGLENN BERGEVIN via e-mail\u003cbr\u003e\u003cbr\u003eDavid Penn replies:\nThanks for writing. The monetary timing\nmodel I mentioned is a rate of change\nmodel. In other words, it doesnt matter\nif the percentage change is up or down.\nIf the year-to-year change is greater\nthan 6%, suggests the model, then an\nexit signal is given. If the year-to-year\nchange is less than 6%, then an entry\nsignal is given.\u003cbr\u003e\u003cbr\u003eI think this is key. Boucher points out\nthe conventional wisdom that higher\nshort rates are bad for stocks. In my\narticle, I wanted to suggest that the\nproblem isnt just higher or lower short\nrates, but the rate of change from year\nto year. Stocks, apparently, can thrive\nin both relatively higher and relatively\nlower short rates. But what appears to\nreally affect stocks badly is when short\nrates change dramatically from year to\nyear.","brand":"store-traders-com","offers":[{"title":"Default Title","offer_id":52134009340273,"sku":"\\V20\\C11\\127LET.PDF","price":2.95,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0900\/3843\/6209\/files\/unnamed_54fd7f91-7dc3-4b89-abbc-05e159462438.jpg?v=1739662055","url":"https:\/\/shop.traders.com\/products\/stoccomv2014","provider":"Stocks \u0026 Commodities","version":"1.0","type":"link"}