<=== Blaster Series Fact Sheets for MIPS33, MIPS44, MIPS/Nitro
"Preservation of Capital"
"I am more concerned about the return of my money than the return on my money" - Mark Twain
THIS MAY BE ALL YOU NEED TO KNOW ABOUT THE MIPS MARKET TIMING SYSTEMS !!!
MIPS BLASTER SERIES TRADING STATISTICS (no leverage)
% Gain/Loss from MIPS market timing signals (12+ years)
Avg. # of % Winning Avg. % Avg. % Model Trades/YrTrades on Winson Losses* Max DDCAGR MIPS33 17 65% +3.48% -1.00% -10.9% 34.2% MIPS44 14 69% +3.60% -1.13% -10.6% 38.1% Nitro55 15 72% +3.73% -1.21% - 9.3% 43.2% * Our "Avg. % on Losses" and "Max DDs" are small because we have built-in algorithms that "Cut Losses Short".
MODEL NAMES We have used the names below for the signals from Actual/Verified models
(Signals tab) and for the Latest Versions of our models (Fact Sheets) as:
Signals from Signals from the Latest Actual/Verified ModelsVersions of our Models
MIPS1 No new model
WHAT IS A PERFECT MARKET TIMING MODEL?
Can anyone develop a "perfect market timing model"? Not at this time, but with advances in quantitative modeling (applied mathematics, artificial intelligence, pattern recognition, big data, etc.), the accuracy of quantitative modeling is improving amazingly fast. In 10-15 years, computer trading with quantitative models will be dominant.
In fact, outside of the investment community, the rest of the world has had "near perfect" computer models in use for many years now. Some examples are: (a) auto-pilot in commercial aircraft, (b) auto-control of nuclear power plants, (c) rockets that send men to the moon and back safely, and (d) fighter jet software (F-15 and F-35) that seeks, finds, tracks, and destroys enemy aircraft amazingly fast.
Immediately below, let's look at an illustration of a "Perfect Market Timing Model" beating buy-and-hold in the stock market. Further below, we can see how a real timing model actually worked in 2007-2017, as verified by TimerTrac.com. Then, you can determine for yourself if a model like this is "near-perfect enough" for you, or if you think that you can do better by yourself.
PERFECT TIMING MODEL
Every investor (large and small) wants to make money in both up and down markets, but they don't know how. Indeed, this is difficult but not impossible. The illustration below shows the hypothetical performance with both a Buy-and-Hold Strategy and a Perfect Market Timing Model (Buy/Short). Even though a Perfect Timing Model does not exist, some models on the market today (like MIPS) come close as they soundly beat Buy/Hold over time.
Assuming the stock market performs as in the table immediately below for 4 "Legs" of ups/downs:
I.) The middle column in the table and the graph on the left show the performance of Buy/Hold.
II.) The rightmost column in the table and the graph on the right represent the performance of a
Perfect Market Timing Model.
EXAMPLE of the Above with Actual Verified Performance
The section immediately below shows the actual MIPS3/MF.org performance in a market moving something like that of the first 3 "Legs" depicted above, by using actual data from the period of 2007-2018 ytd (TimerTrac.com verified). Why just 3 Legs? Because, since 2009. the market is still on the 3rd Leg. The next big drop will be like the 4th Leg above, and it is definitely coming. But When??? MIPS was designed to tell us "when" and it does it well (see below).
MIPS3 (Verified Results from TimerTrac.com)
<<< To see results from the latest versions of our "Blastter"models, scroll down to "NEW" >>>
MIPS3 in UP and DOWN markets (2007-2018)
If you asked hundreds of investors questions about investing in the stock market, you would get diverse answers to each question. There is one question, however, that they would all answer with a resounding "YES". That question is: "Would you have a lot more money today had you not lost 40-60% of your portfolio value in the market crashes in 2000 and 2008?"
That is why the primary objective for a stock market timing model should be to beat the major indices (like the S&P 500 ETF "SPY") in UPandDOWN markets. But, in real life, it would be more realistic to say that the objective should be to at least keep up with or beat the SPY in up markets, and either go to cash or soundly beat the SPY in down markets.
It's sad to say that only a very few stock market timing models meet that objective on a long-term basis. Most do well in up markets but not so well in down markets, or vice versa. We can tell you with 100% certainty that our MIPS models have done well in both up and down markets over the last 10 years, and we can prove it by using "Verified" results from TimerTrac.com (as shown below).
To this end, below you will find results from TimerTrac.com for our MIPS3/MF.org timing model between 2007 and 2017 ytd. For this, we traded with a popular investing strategy, namely 1.5x SPY Long and 0.5x SH Short (where using 0.5x SH Short is for lower risk).
III.) MIPS3 (trading 1.5x SPY / 0.5x SH) 2009-2019 ytd ==> Up Market MIPS 1.5x Long /0.5x Short +442.5% SPY Buy-and-Hold +239.1%
* Red dots designate trade dates
"BLASTER SERIES MODELS"
BLASTER SERIES MODELS
GREAT NEWS FOR MIPS MEMBERS !!!
- Blaster Series Models were released in 1Q'16
We spent 15 months developing new quantitative algorithms that resulted in some of the very best market timing models available today. We call this version of our models the "Blaster Series". The main contribution from Blaster is how our trend following models now know how to navigate "flat markets" (aka sideways trading patterns, consolidation patterns, etc.) that change direction every few days, but go nowhere.
The results*** are a developer's dream: 1) the CAGR of the current Blaster timing models are 35-45% higher than its previous version,
and it's approximately 2.35 times higher than our original version;
2) the Maximum Drawdowns have been reduced by about 35%; and
3) the average number of annual trades remained about the same as before. *** No Leverage Blaster Series Performance Thru June 2018 (no leverage) < Starting with $10,000 > ..............................................................................................................SPY.........MIPS44.......MIPS33.......MIPS22..........MIPS3
MIPS44/Blaster - Annual Returns
Are Quantitative Models Difficult to Understand ???
The most difficult subjects can be explained to the most slow-witted man if he has not formed any idea of them already; but the simplest thing cannot be made clear to the most intelligent man if he is firmly persuaded that he knows already, without a shadow of doubt, what is laid before him.- Leo Tolstoy, 1897
Most individual investors are taught to simply buy and hold, even in down markets. They are also told that (a) no one can time the market and (b) they should never consider short trades. And somehow, the SEC made it illegal for "retail" fund managers to execute short orders in their portfolios. But, everyone must have forgotten to tell the hedge fund managers this, as they have been making billions of dollars for the last 35 years.
MIPS Timing Systems, LLC, was formed to provide stock market timing signals for individual investors to help them make money in both bull markets and bear markets like the high-profile professional money managers do (that is, like hedge fund managers that can trade long and short as they see fit).
The MIPS Timing Systems models analyze the stock market and provide information to our members when the models issue buy, short, and/or cash "signals". The MIPS trading system uses the S&P 500 Exchange Traded Fund (ETF), the SPY Index Fund, to represent the market and uses SPY in one of its index trading strategies. MIPS is not for high frequency online trading or for day traders.
Most of the information regarding the stock market direction provided herein is derived from quantitative models and algorithms owned and developed by MIPS Timing Systems, LLC. These are made up of numerous technical indicators, some of which are published and some of which were developed in-house. These technical indicators are looking for new stock market trends and the exact time that the market changes its trend line from up-to-down or vice versa (i.e., an "inflection point" in the stock market trend line). This provides our members with new tools for timing the stock market and to better manage their stock market investments.