My guess is that a short-term uptrend has started, but I am not ready to make the call quite yet with a couple of themajor indexes still below their 50-day average.
Much healthier new highs/ new lows in today's market. New 52-week lows diminished to a harmless level, and new highs perked up.
The ultra market-sensitive Package Index showed a key reversal yesterday on high-volume, and it hinted at today's strong market.
As reported by VIX-Squared on Twitter, the Investor's Intelligence Newsletter Writer's Sentiment shows 43% bulls. From a contrarian's point-of-view, this is a good time to be looking for a market rally.
Outlook Summary:
The long-term outlook is cautious.
The medium-term trend is down.
The short-term trend is down. Looking for the next short-term uptrend.
The medium-term trend for bond prices is down.
investing Themes:
Medical Products
Energy
Cyber Security
Payment Processors
Strategy:
Buy large cap stocks and ETFs on pullbacks of the medium-term trend.
Buy small cap growth stocks on break outs to new highs during short-term up trends.
Stop buying when the short-term trend is at the top of the range.
Take partial profits when the uptrend starts to struggle at the highs.
Never invest based on personal politics.
MON Sector Strength – TUE Rates – WED Medium-Term – THU Commodities Currencies – FRI Sentiment – SAT Longer-Term
