The Dow Gold Ratio Strategy is a long term strategy.  It is not for short term investments.  You use the DGR Strategy to determine the secular markets direction.

A great example was the secular bear market from 2000 to 2013.  The DGR was almost miraculous in its ability to keep you out of the 2000-2003 cyclical correction as well as the 2008 market collapse.  The entire time from 2000 to 2013, the strategy invested in gold with absolutely no stock exposure.

The performance proves the strategy’s worth.  On August 16, 2001, the DGR indicated a switch from stocks to gold.  The gold investment period ended on 01/23/2013.

During a time where stocks did poorly, gold performed spectacularly.  IAU, a gold ETF, was the choice.

Dow 3o Industrials                  +33%

SPY                                              +57%

QQQ                                            +82%

IAU                                        +492%