Sunday, October 25, 2015

SGS Market Timer Is LONG

SGS Market Timer Status:   LONG 
LONG as of close of 10/23/2015
RTS Current Portfolio (2015)

Updated for recent trades
RTS Past Portfolios (2008-2014)

SGS Market Timer is LONG as of close of Friday 10/23/2015.

Where Are We Heading Longer Term (Weeks)?

SPX has reached a double resistance (PDL-1 and PUL-1) on its monthly chart.  Chances are good that SPX sells off to test its DTL before heading higher.
Where Are We Heading Shorter Term (Days)?

SPX punched through 2035-2045 resistance zone and its 200 D-SMA last week on the back of good earnings (GOOGL, MSFT and AMZN), more QE (ECB) and a "surprise" interest rate cut (BOC).  

At this point, indices are overbought and chances are good that they sell off late this coming week to back test important old resistances that now would act as supports.  For SPX, a sell off to back test 200 D-SMA (2060), 100 D-SMA and PDL-1 (2035) is very likely.

My Plan:

Per my plan I covered 1/2 of my short position last week (Friday).  I'm going to covered all remaining short positions as SPX sells off to back test its PDL-1 around 2035.  Should SPX continue to move up, I would cover if SPX closes above 2100.


SPX: S&P 500 Index    D-SMA: Daily - Simple Moving Average
DJI: Dow Jones Industrial Index    D-EMA: Daily - Exponential Moving Average
DJT: Dow Jones Transportation Index    PDL: Primary Downtrend Line
NAZ: NASDAQ Composite Index    PUL: Primary Uptrend Line
RUT: Russell 2000 Index    ADL: Active Downtrend Line
OEX: S&P 100 Index    AUL: Active Uptrend Line
NDX: Nasdaq 100 Index    DTL: Dynamic Trend Line   
TUL: Tentative Uptrend Line   TDL: Tentative Downtrend Line  

Disclaimer: The views expressed are provided for information purposes only and should not be construed in any way as investment advice or recommendation.  Furthermore, the opinions expressed may change without notice.