It’s time for the Dogs of the Dow, which is one of the longest running and easiest to implement strategies. The Dogs of the Dow is a stock picking strategy devoted to selecting the highest dividend paying stocks in the Dow Jones Industrial Average.

Our 4 Asset Model Portfolio continues to hold positions in gold and Treasury bonds. In addition, we have a high cash position. And yes, we are sleeping well at night as the portfolio has not had a position in equities for nearly 2 months.

The Dogs of the Dow is a strategy devoted to selecting the highest dividend paying stocks in the Dow Jones Industrial Average. Yield is the annual dividend from a company divided by its stock price. In essence, the goal of the strategy is to earn more dividend income and hope that the stocks also mount a comeback.

Patience is a virtue not oft exhibited by market participants. Our models continue to show the following: We are in a NEUTRAL market environment

A Current Look At The Gold Market

The big news: Copper is breaking down and a likely sign of weakness in the global economy. Economic weakness means lower Treasury yields which should benefit gold, silver and GDX The EURO is headed to 141 and the Dollar is headed lower

The stock market has a potential melt up scenario and really, things seem pretty good with the recent recovery from a winter blip in economic data.

Our models are constructed with both fundamental and technical data, and a bull signal is registered when both fundamentals and technicals are positive

There are no changes to the portfolio this past week. However, as we start another fun filled week of deciphering the news, our portfolio seems uniquely positioned to weather the storm.

The Dogs of the Dow is a stock picking strategy devoted to selecting the highest dividend paying stocks in the Dow Jones Industrial Average. It is one of the longest running and easiest to implement strategies.

Despite the new all time highs in the SP500, it has been my contention for the past 3 weeks that we are in a NEUTRAL market environment.

The Rydex asset data is sentiment data, and it is based upon real asset flows. It is not an investor opinion poll. By tracking the money, we get to see how these investors are placing their market bets.

I like listening to smart guys! And Jeff Gundlach would qualify.... In this video, Gundlach explains why he likes emerging market bonds (on a valuation basis). Video length 3:59.

The failure of the $VIX to break below a value of 12 and the failure of the indicator to confirm the highs in price are noteworthy.

The inability of the $VIX to break below the 12 level is a sign that the current market rise is not sustainable, and this divergence has been going on for over 6 months now.

GLD: Bullish