Bounce

Well, not surprisingly the market retraced some of yesterday's losses. And we may see a bit more upside in the short term, but that doesn't change the intermediate term picture painted by the Seven Sentinels.



Three signals flipped back to buy conditions after today's moderate buying pressure, but it takes all seven to flip back to a buy condition to change the status of the current signal. That means the Seven Sentinels remain in an intermediate term sell condition.

 

[Birchtree]

The MCO (NYMO) is now at -87 and signaling a rally soon.

 

[Guest]

We all know that currency isn't stagnant. It flows where the best returns are possible. For the next year, I suspect that the dough will be directed to the US Markets. Hence your riskier funds will increase. I think you guys have a Dow fund and a small cap fund I suspect. Smart money is doubling down on those. S and P has a good chance to hit 14 by august. The trend will keep testing higher. Just a thought

 

[coolhand]

We all know that currency isn't stagnant. It flows where the best returns are possible. For the next year, I suspect that the dough will be directed to the US Markets. Hence your riskier funds will increase. I think you guys have a Dow fund and a small cap fund I suspect. Smart money is doubling down on those. S and P has a good chance to hit 14 by august. The trend will keep testing higher. Just a thought

I agree that the upside will most likely continue over the months ahead.

We are limited to the three stock indexes. The S&P 500, Wilshire 4500, and the EAFE. The Wilshire and EAFE are the more "risky" funds. Most of the board has been using the Wilshire 4500 as their fund of choice in the current bull market and it has out performed the other two funds so far this year (albeit not by all that much). That's consistent with where the smart money has been going as you pointed out.

Thanks for the post. Always nice to hear what other folks are seeing.