SGS Market Timer Status: SHORT
SHORT as of the close of Friday Oct 5, 2018
SGS is a Long-Term (weeks to months) Timer
Why Market Timing Is A Must
The rebound rally from short-term oversold levels on Tuesday and Wednesday ran into strong selling on Thursday and Friday. SPX gained only half a point for the week. That is quite bearish and I expect selling to resume on Monday and continue at a faster pace.
The upcoming mid-term election is critical. There is a good chance that Reps lose their majority in the House but if they also lose their majority in the Senate, indices would sell-off significantly and lose most of their gains since November 2016.
SGS rebound slightly last week but on Friday it turned down and put in a lower value. SGS is now well entrenched in the "SHORT" territory. That signals more selling ahead, or at best a sideways move for the major indices for the next couple of weeks.
Supports and resistances for SPX for the upcoming week are shown above. Chances are high that the selling that started on Thursday continues this coming week. For SPX a test of its TLS around 2630 is very likely. A close below that level this week would signal a high likelihood of more selling to test February lows around 2530, probably by late October to early November.
SPX: S&P 500 Index SMA: Simple Moving Average
DJI: Dow Jones Industrial Index EMA: Exponential Moving Average
DJT: Dow Jones Transportation Index PDL: Primary Downtrend Line
NAZ: NASDAQ Composite Index PUL: Primary Uptrend Line
RUT: Russell 2000 Index ASL: Active Support Line
OEX: S&P 100 Index ARL: Active Resistance Line
NDX: NASDAQ 100 Index DTL: Dynamic Trend Line
TUL: Tentative Uptrend Line TDL: Tentative Downtrend Line
SHORT as of the close of Friday Oct 5, 2018
SGS is a Long-Term (weeks to months) Timer
Why Market Timing Is A Must
The upcoming mid-term election is critical. There is a good chance that Reps lose their majority in the House but if they also lose their majority in the Senate, indices would sell-off significantly and lose most of their gains since November 2016.
My Plan
Per my plan I opened my first of two SDS long positions on Thursday. My plan is to open my final long SDS position sometime early this week as SPX resumes selling to test 2710.
Current Long-Term Portfolio (2018)
Past Long-Term Portfolios (2008-2017)
Per my plan I opened my first of two SDS long positions on Thursday. My plan is to open my final long SDS position sometime early this week as SPX resumes selling to test 2710.
Current Long-Term Portfolio (2018)
Past Long-Term Portfolios (2008-2017)
Current Long-Term Portfolio (2018)
Past Long-Term Portfolios (2008-2017)
SPX: S&P 500 Index SMA: Simple Moving Average
DJI: Dow Jones Industrial Index EMA: Exponential Moving Average
DJT: Dow Jones Transportation Index PDL: Primary Downtrend Line
NAZ: NASDAQ Composite Index PUL: Primary Uptrend Line
RUT: Russell 2000 Index ASL: Active Support Line
OEX: S&P 100 Index ARL: Active Resistance Line
NDX: NASDAQ 100 Index DTL: Dynamic Trend Line
TUL: Tentative Uptrend Line TDL: Tentative Downtrend Line
TLR: Trend Line Resistance TLS: Trend Line Support
Disclaimer: The views expressed are provided for informational purposes only and should not be construed in any way as investment advice or recommendation. Furthermore, the opinions expressed may change without notice
Disclaimer: The views expressed are provided for informational purposes only and should not be construed in any way as investment advice or recommendation. Furthermore, the opinions expressed may change without notice
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