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MUTUAL FUND SECTOR TIMING
REPORT & UPDATE
by Henry Ford

MARKET COMMENTARY NOW PUBLISHED ON NEXT PAGE
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For Tomorrow, AUGUST 24,1998

WE ARE NOW IN MONEY MARKET FUND WAITING FOR NEXT ROTATION & TIMING ENTRANCE



WE ARE NOW ON A BUY WATCH FOR BOTH OF OUR MUTUAL FUND FRONT RUNNERS.
Download a new updated file each night by clicking at page bottom or update current spreadsheet manually. Copy and paste the price line below into spreadsheet.


Tonight's Numbers
FSVLX FSELX FDCPX FSESX FSPHX
MNYMKT 8/21/98 FRI 46.17 31.94 49.42 16.84 122.23
CURRENT-WE ARE STANDING ASIDE WITH FUNDS IN MONEY MARKET
Front runner is FSELX at this time...MAGIC NUMBER FOR FSELX IS $32.36. If we close above this number tomorrow, we will enter FSELX on the following day.

*** DATA ON RYDEX FUNDS****

RYDEX equivalent funds are tracking quite nicely with their Fidelity counterparts and of course offer the advantage of no up front load and unlimited switching without penalty. Spread- sheets for RYDEX funds are available above.

Here are today's numbers:

RYFIX RYSIX RYVIZ
MNYMKT 8/21/98 FRI 9.02 9.02 5.73
CURRENT-WE ARE STANDING ASIDE WITH FUNDS IN MONEY MARKET
Front Runner is RYSIX at this time...MAGIC NUMBER FOR RYSIX $9.18. If we close above this number tomorrow, we will enter RYSIX on the following day.

Here are Fidelity/Rydex symbol substitutions: FSVLX=RYFIX; FSELX=RYSIX; FSESX=RYVIX, (most brokers have changed to the "X" suffix from the "original "Z".

Some are still confused as to why we are only following three sector funds in Rydex and five funds in the Selects. 98% of our trade profits in testing came from just these three sectors. Rydex has added an equivelant for Computers and Health care, and we will be adding them soon. We feel very comfortable in just considering the three major sectors for rotation.

RYDEX UPDATE -posted 6/30/98 AM
IMPORTANT NEW STUDY INFORMATION FOR YOUR DECISION MAKING...click here
We are in the midst of our INVESCO study and once this current roiling is behind us will publish those results.
*PREVIOUS PERTINENTCOMMENTARY*
Some of you must be wondering why I go on about the markets the way I do in a report specifically geared towards Mutual Funds. The original reason was to give you something interesting or thought provoking while we watched our portfolios slowly appreciate (like watching grass growing). As of late it ends up being something to do while we wait for the right time to re-invest ....

*FUND NAV CHANGES*We will notify you of all NAV changes due to distributions and dividends and all spreadsheets will be historically adjusted at that time. It is HIGHLY recommended that if you are not downloading nightly you do so when this occurs or your data will be inconsistant. Additionally we will provide you with the method for adjusting previous NAV if you do not decide to remain a subscriber. Just drop us an E-Mail with your request.
*****SPREADSHEET DIFFICULTIES*****If you are experiencing difficulty with the spreadsheets on your disks there are a few things to try.

1.Read the Readme File...

2. Open the file from within Excel; not just by double clicking on it. It is in Excel 3.0 format for compatibility and not all versions open it directly.

3. Open the .vts file from within Excel...it has the same data and is readable from Excel.

3. Download the current updated NAV sheets. from the web site.These are available in Excel compatible and VistaCalc formats.

UPDATED DAILY:

VISTACALC Selects , EXCEL Selects,

VISTACALC Rydex, EXCEL Rydex

1988-1998 history: VISTACALC , EXCEL
******FAQ AVAILABLE***** http://www.wwfn.com/sectorfunds/mfr/mfFAQ.txt
***SECTOR ROTATION HISTORY WITH TIMING AVAILABLE(1/1/89 to 1/1/98)**** http://www.wwfn.com/sectorfunds/mfr/performance.html
If you have any specific questions you can email me at: whford@ix.netcom.com and I will get back to as I have time..
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