Stocks were up across the board yesterday as the Dow gained 24-points and the broader indices performed even better. Bonds also rallied as the dollar dipped.
[TABLE="width: 80%, align: center"]
[TR]
[TD="width: 300"]
[TD="align: center"] Daily TSP Funds Return[TABLE="width: 163"]
[TR]
[TD="width: 83, align: right"] G-Fund:[/TD]
[TD="width: 80, align: right"] +0.0176%[/TD]
[/TR]
[TR]
[TD="width: 83, align: right"] F-fund:[/TD]
[TD="width: 80, align: right"] +0.11%[/TD]
[/TR]
[TR]
[TD="width: 83, align: right"] C-fund:[/TD]
[TD="width: 80, align: right"] +0.36%[/TD]
[/TR]
[TR]
[TD="width: 83, align: right"] S-fund:[/TD]
[TD="width: 80, align: right"] +0.83%[/TD]
[/TR]
[TR]
[TD="width: 83, align: right"] I-fund:[/TD]
[TD="width: 80, align: right"] +0.39%[/TD]
[/TR]
[/TABLE]
[TABLE="width: 69%, align: center"]
[TR]
[TD="align: right"] [/TD]
[/TR]
[/TABLE]
[/TD]
[/TR]
[/TABLE]
The S&P 500 (SPY) moved up 0.4% remaining above all the levels that matter. Volume was light, but that was about the only negative worth mentioning for the day, although the index is still almost 9% above the 200-day EMA and that's a concern.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
The Transportation Index is back in the lead as it produced a second straight 1% gain making it the first major index to make a new high after last week's dip. Obviously a good sign, but very extended with it now nearly 13% above the 200-day EMA.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
The small caps look to be trying to create yet another "V" bottom after Friday's high volume reversal day and Monday's follow through.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
The short-term indicators are pointing up again but we continue to watch the negative divergences as we see the indicators trending lower while the S&P 500 trends higher.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
Bonds rallied modestly as the dollar finally had a negative day. The 7 to 10 year bond fund (below right) is close to testing the rising support line and the 50-day EMA, while the longer-term bond fund (bottom left) is hovering above the 50-day EMA.
Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk
Both have open gaps below that may need to get filled before heading higher.
The October Jobs Report will be released on Friday morning. Current estimates are looking for a gain of 100,000 jobs and an unemployment rate of 7.3%.
In today's TSP Talk Plus report we go over the intermediate-term indicators, which are flipping, and we look at a twelve year low in one major indicator. For more information on how to gain access and a list of the benefits of being a subscriber, please go to: www.tsptalk.com/plus.php
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.
