SGS Market Timer Status: NEUTRAL
NEUTRAL as of the close of September 1, 2017
SGS is a Long-Term (weeks to months) Timer
SGS advanced last week, crossed its DTL and turned positive. SGS is NEUTRAL as of the close of last Friday. If SGS remain positive and above its DTL by the close of this coming Friday, then it would turn "LONG".
The status of SGS changes only on a Friday in order to minimize "whipsaw" that is associated with a trend following timer.
It is interesting that the two indices (DJT and RUT) that sold off the most have had the least retracement. This is not indicative of a healthy bull market in my opinion.
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
NEUTRAL as of the close of September 1, 2017
SGS is a Long-Term (weeks to months) Timer
SGS advanced last week, crossed its DTL and turned positive. SGS is NEUTRAL as of the close of last Friday. If SGS remain positive and above its DTL by the close of this coming Friday, then it would turn "LONG".
The status of SGS changes only on a Friday in order to minimize "whipsaw" that is associated with a trend following timer.
Last Monday night when SPX futures were down 20 points, it looked like that all indices were in for an extremely ugly day on Tuesday and the start of a couple of weeks of heavy selling. SPX gapped down at the open on Tuesday, it started to head lower, but then it rocketed back up and continued to rally for the next four days on the back of short covering and dip buying.
As of the close of last Friday, data below shows how far major indices have retraced their recent sell-off from their all-time highs:
As of the close of last Friday, data below shows how far major indices have retraced their recent sell-off from their all-time highs:
SPX: 86% of its -3% sell-off
DJI: 76% of its -3% sell-off
DJT: 51% of its -8% sell-off
NAZ: 96% of its -4% sell-off
RUT: 62% of its -7% sell-off
DJT: 51% of its -8% sell-off
NAZ: 96% of its -4% sell-off
RUT: 62% of its -7% sell-off
OEX: 85% of its -3% sell-off
NDX: 106% of its -4% sell-off
It is interesting that the two indices (DJT and RUT) that sold off the most have had the least retracement. This is not indicative of a healthy bull market in my opinion.
My Plan
Per my plan, I opened my second and final position in SDS last Tuesday at the open. Now that SGS has turned NEUTRAL, my plan is close my SDS positions sometime this coming week. Should the battle of words between the two top narcissists of the planet earth escalate and indices start to sell-off significantly on Tuesday morning, I would keep my SDS positions.
Per my plan, I opened my second and final position in SDS last Tuesday at the open. Now that SGS has turned NEUTRAL, my plan is close my SDS positions sometime this coming week. Should the battle of words between the two top narcissists of the planet earth escalate and indices start to sell-off significantly on Tuesday morning, I would keep my SDS positions.
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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