Be a closet trend-follower and protect your portfolio

 

- Paul Tudor Jones 

Even if you are not a 100% trend-follower, you can still use trend-following principles to support your allocations decisions. Use the 200-day moving average as a core indicator to support portfolio changes. If prices fall below the 200-day average, use discipline, and get out or reverse positions. You can use other trend lengths but place some core logic in the 200-day indicator. The investment world may be uncertain, but this indicator will always offer protection. You can always be a closet trend-follower.