Plant shopping
Yesterday I asked Google, “What is the origin of the Sector Bullish Percent Indicator investing model?” Here is the reply.
-
- Origin (1955): Abe Cohen took the “logical leap” of calculating the percentage of NYSE stocks currently on a Point and Figure (P&F) buy signal. This provided a clear-cut way to measure aggregate supply and demand without the “noise” of traditional price charts. [1, 3]
- Refinement (1975–1982): The model’s signals were further standardized by Earl Blumenthal in his 1975 book Chart for Profit and later refined in 1982 by Mike Burke, an editor at Investors Intelligence. []
- Modern Expansion: While initially limited to the NYSE, the model was eventually applied to various sectors (the Sector BPI) and other indices like the S&P 500 and Nasdaq. [, 2]
- Oversold (Below 30%): Indicates extreme pessimism and a low-risk area where the “offense” (buying) should be played. [1, 2]
- Overbought (Above 70%): Indicates extreme optimism and a high-risk area where “defensive tactics” (selling or tightening stops) are recommended. [1, 2]
- Sector Application: Modern variations, such as the Sector BPI model, use these levels to rotate into specific oversold sector ETFs while applying trailing stop losses as sectors become overbought. [1]”
I then asked where can one find active investing models that employ the Sector BPI model. Again, here is the reply.
-
- ITA Wealth Management: This platform specifically tracks multiple portfolios managed under the Sector BPI model. As of early 2026, active portfolios include:
-
- Carson Sector BPI: The oldest portfolio using this unique approach.
- Franklin Sector BPI: Regularly reviewed and specifically scheduled for updates as of April 2026.
- McClintock Sector BPI: A newer portfolio launched in late 2023 that is actively tracked for its risk ratio and performance. [1, 2, 3, 4, 5]
-
- Seeking Alpha: Analysts frequently publish updates and performance reviews of the Sector BPI investing model, often comparing its performance to benchmarks like the SPY ETF. [1, 2]
- ITA Wealth Management: This platform specifically tracks multiple portfolios managed under the Sector BPI model. As of early 2026, active portfolios include:
-
- StockCharts.com: Through their ChartSchool, they provide the Bullish Percent Index for several individual sectors and industry groups. [1, 2]
- Investors Intelligence: As the original developer of the BPI, Investors Intelligence remains a primary source for the breadth indicators needed to run the model.
- AlphaProfit: Provides Sector ETF-based model portfolios, including “ETF Style Rotation” models that frequently align with sector-strength indicators like BPI. [1, 2, 3]
-
Carson Sector BPI Portfolio Review: 14 February 2025
Feb 14, 2025 — Many out-of-date posts have been deleted in order to save storage space. There is still a lot of information on the blog and one c…
ITA Wealth Management | -
Sector Bullish Percent Indicator Investment Model Update7, 2023 — Sector Bullish Percent Indicator Investment Model Update * The Sector Bullish Percent Indicator investing model uses BPI data to d…
Seeking Alpha -
ITA Wealth Management |
Apr 29, 2026 — April 14, 2026 By Lowell Herr 1 Comment. Franklin is the Sector Bullish Percent Portfolio scheduled for a review this morning. Thi…
ITA Wealth Management |
McClintock Security Holdings
One major change I made within the McClintock is to sell all shares of SHV and replace it with SCHO. The major reason is to reduce the expense ratio cost.
Technology (VGT) is overbought so I placed a Trailing Stop Loss Order (TSLO) of 3% under VGT. I also placed similar orders for Carson and Franklin, the other two Sector BPI portfolios.
McClintock Performance Data
Since 12/31/21 the McClintock has outperformed the AOR benchmark. Much of this gain occurred since I move this portfolio over to the Sector BPI investing model.
McClintock Risk Ratios
While it is too early in May to place much value on the latest numbers, at least all are moving in the right direction. The Treynor took a large jump upward due to increasing the percentage of the portfolio in the low volatile SCHO treasury. This move lowered the portfolio beta and Treynor is highly sensitive to the portfolio beta.
McClintock Sector BPI Portfolio Review: 9 October 2025
McClintock Sector BPI Portfolio Review: 10 September 2025
Discover more from ITA Wealth Management
Subscribe to get the latest posts sent to your email.
Leave a Comment or Question