ETF Timing

Sector Ranking:
ETF sector timing is an approach used by market technicians to rank the price performance of stocks or ETF's that comprise a particular sector of the market. Different prices measures are used to compare stocks against one another, against benchmark indexes and the overall market. The performance grading depends upon the time duration that the measurement is calibrated for. Market technicians construct indexes and use strength measurement indicators to determine how stocks are performing relative to the market and other stocks in the sector. This is used to establish a list of stocks for further investigation.

Momentum Ranking:
Stocks are compared against each other, sector measurement or the indexes to determine how the stock is currently performing or has performed in the past. ETF timing systems use this to establish a universe of stocks to track or for the purposes of finding candidates to trade. There are many different ways to do this and traders employ custom indicators or standard indicators for determining these rankings.

ETF Timing:
Time based analysis is used for intra-day, daily, weekly and monthly analysis. Cycle analysis and Gann based time analysis is employed by market technicians for the purposes of grading, entering, exiting and holding stocks. Market timing is a separate market discipline. There are courses and books provided by market practitioners that can be purchased and referred to learn more about timing approaches.

ETF market timing is a broad and diverse subject that is considered important by technical and system based traders. For the most part, ETF timing is traditionally associated with a short term trading or investing. Many different systems, technical analysis approaches, courses and books are available that deal with market timing. You can discover more by doing an internet search, attending seminars, purchasing educational products such as books or developing your own style of analysis. Trading forums are often a great place to prospect for ideas that can lead to further development. ETF timing newsletters can also be useful for individuals who are time poor or want to leverage the expertise of others who have done the research.