The bulls found their footing this week and strung together gains four of the five days. The S&P 500 came into this week with seven straight weeks of losses in the rearview mirror. However, a late rally the previous Friday carried on into Monday to start the week with gains. The only loss for the week came Tuesday but the indices were off their lows to remain positive for the week by the close.
The TSP was shut down after Thursday's gains, so the TSP prices do not reflect Friday's action. The C-fund led with a gain of 4.03% which brought the losses for May to just 1.65% but does not account for the S&P 500's 2.5% gain Friday that pushed the index into gains for May. The concern of what would happen if the S&P 500 reached the technical bear market territory (20% off its highs) was short lived once again. There is likely a psychological trigger for buyers keeping the large cap index out of a bear market despite a technical bear market in the DWCPF (S-fund).
So far, the TSP has been vague about when transaction will return. They have said, "Be sure to check back here to see when the new My Account is available. When available, all TSP participants will need to set up a new login for the new My Account. This one-time setup process will give you step-by-step prompts to make it simple for you to verify your identity, create a username and password, update your contact information, and set up your account security. Once you log in to My Account, you’ll notice a fresh design, new tools, and enhanced features to help you manage your account."
Hopefully you are where you want to be positioned during this transaction shutdown. It is frustrating for some especially when stocks are finally showing some strength.
Looking for an edge on your TSP return? Get the Last Look Report for as low as $4.19 / month. The report is a daily email on the TSP Talk AutoTracker moves, news, forum threads, and more before the IFT deadline. The service is aimed to help you make your own IFT decisions by giving you relative information 30 min prior to the deadline including where the members of TSP Talk are moving their money.
Here are the weekly, monthly, and annual TSP fund returns for the week ending May 27:
SPY (S&P 500 / C-fund) traded above its 20-day for the first time since mid-April this week. The TSP was closed Friday, but SPY moved closer to its 50-day EMA and entered positive territory for May. There was no escape for TSP participants Friday so they will not be able to take profits if the index falls before IFTs resume. The C-fund led the TSP funds for the week with a gain of 4.03%.
The Dow Completion Index (S-fund) had a similar technical story to the C-fund's. The index closed at its 20-day EMA on Thursday and moved higher Friday to move closer to the 50-day EMA. The difference is the S-fund is not as close to gains for the month and the DWCPF did not independently enter positive territory Friday like the S&P 500. The S-fund gained 3.30% for the week.
EFA (EAFE Index / I-fund) started this week above its 20-day EMA and remained there through Thursday. After the TSP shutdown the ETF EFA moved above its 50-day EMA for the first time since early April. The I-fund did enter positive territory for the May before Friday, so it is the only TSP stock fund with gains for May so far. The I-fund lagged the C and S-funds with a 2.63% gain for the week.
BND (Bonds / F-fund) continued its climb higher this week and like the stock funds, it has established its recent prices above the 20-day EMA. The F-fund gained 0.73% this week and the ETF BND ended the week just below the 50-day EMA.
Good luck and thanks for reading. We will be back here next week with another TSP Wrap Up. You can read our daily market commentary at the Market Comments page. If you need more help deciding what to do with your account, perhaps one of our Premium Services can help.
Thomas A Crowley
wwww.tsptalk.com
Last Look Report
Facebook | Twitter
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 TSP was shut down after Thursday's gains, so the TSP prices do not reflect Friday's action. The C-fund led with a gain of 4.03% which brought the losses for May to just 1.65% but does not account for the S&P 500's 2.5% gain Friday that pushed the index into gains for May. The concern of what would happen if the S&P 500 reached the technical bear market territory (20% off its highs) was short lived once again. There is likely a psychological trigger for buyers keeping the large cap index out of a bear market despite a technical bear market in the DWCPF (S-fund).
So far, the TSP has been vague about when transaction will return. They have said, "Be sure to check back here to see when the new My Account is available. When available, all TSP participants will need to set up a new login for the new My Account. This one-time setup process will give you step-by-step prompts to make it simple for you to verify your identity, create a username and password, update your contact information, and set up your account security. Once you log in to My Account, you’ll notice a fresh design, new tools, and enhanced features to help you manage your account."
Hopefully you are where you want to be positioned during this transaction shutdown. It is frustrating for some especially when stocks are finally showing some strength.
Looking for an edge on your TSP return? Get the Last Look Report for as low as $4.19 / month. The report is a daily email on the TSP Talk AutoTracker moves, news, forum threads, and more before the IFT deadline. The service is aimed to help you make your own IFT decisions by giving you relative information 30 min prior to the deadline including where the members of TSP Talk are moving their money.
Here are the weekly, monthly, and annual TSP fund returns for the week ending May 27:
SPY (S&P 500 / C-fund) traded above its 20-day for the first time since mid-April this week. The TSP was closed Friday, but SPY moved closer to its 50-day EMA and entered positive territory for May. There was no escape for TSP participants Friday so they will not be able to take profits if the index falls before IFTs resume. The C-fund led the TSP funds for the week with a gain of 4.03%.
The Dow Completion Index (S-fund) had a similar technical story to the C-fund's. The index closed at its 20-day EMA on Thursday and moved higher Friday to move closer to the 50-day EMA. The difference is the S-fund is not as close to gains for the month and the DWCPF did not independently enter positive territory Friday like the S&P 500. The S-fund gained 3.30% for the week.
EFA (EAFE Index / I-fund) started this week above its 20-day EMA and remained there through Thursday. After the TSP shutdown the ETF EFA moved above its 50-day EMA for the first time since early April. The I-fund did enter positive territory for the May before Friday, so it is the only TSP stock fund with gains for May so far. The I-fund lagged the C and S-funds with a 2.63% gain for the week.
BND (Bonds / F-fund) continued its climb higher this week and like the stock funds, it has established its recent prices above the 20-day EMA. The F-fund gained 0.73% this week and the ETF BND ended the week just below the 50-day EMA.
Good luck and thanks for reading. We will be back here next week with another TSP Wrap Up. You can read our daily market commentary at the Market Comments page. If you need more help deciding what to do with your account, perhaps one of our Premium Services can help.
Thomas A Crowley
wwww.tsptalk.com
Last Look Report
Facebook | Twitter
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.
