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
Support and resistance levels for SPX for the upcoming week are shown above.
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
Economic Crisis Avoidance Deus ex Machina - Part I: Active Asset Price Inflation
SGS advanced everyday last week but SGS is still in SHORT territory, signalling that, in the long-term (weeks to months), there is still a high chance (> 70%) that major indices continue trading lower.
- Asset Price Inflation as a tool of monetary policy
- Rate hikes to end soon
- New large-scale asset purchases in the future
- Crash and recession delayed
... read more
As shown above, the "bottom head & shoulders" price pattern on SPX daily chart is still in play. There is still a reasonable chance that SPX rallies this week to test the Neck Line around 2810 to 2820.
My Plan
No change since last week, I'm still in cash and going to watch internal data as SPX trades around 2800 this week. Again, I'm specifically looking at the number of new lows for yearly, quarterly, and monthly time frames. If the sell-off is done and indices are to move higher to challenge their all-time highs, then the number of new lows should drop significantly in those time frames. Otherwise, what's going on is nothing but a bear market counter-trend rally to trap bulls.
Current Long-Term Portfolio (2018)
Past Long-Term Portfolios (2017-2008)
No change since last week, I'm still in cash and going to watch internal data as SPX trades around 2800 this week. Again, I'm specifically looking at the number of new lows for yearly, quarterly, and monthly time frames. If the sell-off is done and indices are to move higher to challenge their all-time highs, then the number of new lows should drop significantly in those time frames. Otherwise, what's going on is nothing but a bear market counter-trend rally to trap bulls.
Current Long-Term Portfolio (2018)
Past Long-Term Portfolios (2017-2008)
Current Long-Term Portfolio (2018)
Past Long-Term Portfolios (2017-2008)
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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