3/14/13
The Dow made it 9 positive closes in row yesterday after another small 5-point gain. Transportation stocks and small caps led the way higher.
[TABLE="width: 88%, align: center"]
[TR]
[TD]
[/TD]
[TD="align: center"]Daily TSP Funds Return[TABLE="width: 156"]
[TR]
[TD]G-Fund:[/TD]
[TD="align: right"]+0.0043%[/TD]
[/TR]
[TR]
[TD]F-fund:[/TD]
[TD="align: right"]+0.02%[/TD]
[/TR]
[TR]
[TD]C-fund:[/TD]
[TD="align: right"]+0.17%[/TD]
[/TR]
[TR]
[TD]S-fund:[/TD]
[TD="align: right"]+0.38%[/TD]
[/TR]
[TR]
[TD]I-fund:[/TD]
[TD="align: right"]-0.55%[/TD]
[/TR]
[/TABLE]
[TABLE="width: 80%, align: center"]
[TR]
[TD="align: right"]More returns[/TD]
[/TR]
[/TABLE]
[/TD]
[/TR]
[/TABLE]
The S&P 500 made it day 3 of the flat top formation, although the small caps of the Russell 2000 broke above its 3-day flat top yesterday.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
The Dow Transportation Index blasted through its recent highs and gained 1.6%. That is important since it is considered a leader.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
Looking for clues to what might happen next... twice last year we saw the PMO indicator give a buy signal after it had recently given a sell signal when coming off the highs (high PMO readings).
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
The S&P 500 is about a week into that its recent PMO buy signal so if this pattern repeats itself, the current peak in the S&P could be, or close to, a top.
The dollar has continued its strength and the UUP dollar ETF made another multi-month high yesterday.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
Not surprisingly, the strength in the dollar has had a negative impact on commodity prices. This led me to stumble upon the divergence in commodity prices vs. the S&P 500.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
Last year, when commodity prices started to lag the price of the S&P 500, it wasn't long before the S&P 500 started to top out and pull back itself. There is also a bear flag on the commodity chart so it looks like it wants to go down further.
Thanks for reading! We'll see you back here tomorrow.
Tom Crowley
Posted daily at TSP Talk Market Commentary
The legal stuff: This information is for educational purposes only! This is not advice or a recommendation. We do not give investment advice. Do not act on this data. Do not buy, sell or trade the funds mentioned herein based on this information. We may trade these funds differently than discussed above. We use additional methods and strategies to determine fund positions.
The Dow made it 9 positive closes in row yesterday after another small 5-point gain. Transportation stocks and small caps led the way higher.
[TABLE="width: 88%, align: center"]
[TR]
[TD]
[TD="align: center"]Daily TSP Funds Return[TABLE="width: 156"]
[TR]
[TD]G-Fund:[/TD]
[TD="align: right"]+0.0043%[/TD]
[/TR]
[TR]
[TD]F-fund:[/TD]
[TD="align: right"]+0.02%[/TD]
[/TR]
[TR]
[TD]C-fund:[/TD]
[TD="align: right"]+0.17%[/TD]
[/TR]
[TR]
[TD]S-fund:[/TD]
[TD="align: right"]+0.38%[/TD]
[/TR]
[TR]
[TD]I-fund:[/TD]
[TD="align: right"]-0.55%[/TD]
[/TR]
[/TABLE]
[TABLE="width: 80%, align: center"]
[TR]
[TD="align: right"]More returns[/TD]
[/TR]
[/TABLE]
[/TD]
[/TR]
[/TABLE]
The S&P 500 made it day 3 of the flat top formation, although the small caps of the Russell 2000 broke above its 3-day flat top yesterday.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
The Dow Transportation Index blasted through its recent highs and gained 1.6%. That is important since it is considered a leader.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
Looking for clues to what might happen next... twice last year we saw the PMO indicator give a buy signal after it had recently given a sell signal when coming off the highs (high PMO readings).
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
The S&P 500 is about a week into that its recent PMO buy signal so if this pattern repeats itself, the current peak in the S&P could be, or close to, a top.
The dollar has continued its strength and the UUP dollar ETF made another multi-month high yesterday.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
Not surprisingly, the strength in the dollar has had a negative impact on commodity prices. This led me to stumble upon the divergence in commodity prices vs. the S&P 500.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
Last year, when commodity prices started to lag the price of the S&P 500, it wasn't long before the S&P 500 started to top out and pull back itself. There is also a bear flag on the commodity chart so it looks like it wants to go down further.
Thanks for reading! We'll see you back here tomorrow.
Tom Crowley
Posted daily at TSP Talk Market Commentary
The legal stuff: This information is for educational purposes only! This is not advice or a recommendation. We do not give investment advice. Do not act on this data. Do not buy, sell or trade the funds mentioned herein based on this information. We may trade these funds differently than discussed above. We use additional methods and strategies to determine fund positions.
