Strategic Investment Timing by Alexander Elder
Dick A. Stoken
MacMillan Publishing Co.
866 Third Ave.
New York, NY 10022
225 pages, hard cover, $14.95
Strategic Investment Timing is a well-researched, intellectually honest book that shows how the
economy works and how it affects the markets. Stoken condenses the multitude of fundamental forces
affecting the economy into four major factors: cost of credit (long and short-term interest rates), the
four-year political cycle, inflation-deflation outlook (Producer's Price Index), and optimism-pessimism of
the mass of investors (the relative level of the Dow Jones Industrial Average). He convincingly shows
how, by combining these indicators, we can tell what stage of the investment cycle we are in, and trade
accordingly. There are times when it is best to be invested in stocks, other times in bonds, still other
times in commodities and hard assets, while sometimes it is best to be in cash. Stoken shows how to
identify the particular states of the market cycle and allocate assets for maximum gain.