04/07/2019: Markets were up again for the week, as the major Indices are getting back up near the Sept. Highs. It is amazing how the Investor Sentiment has flipped from FEAR to GREED in a few months.
In December Investors were dumping Investments on FEAR of the FED raising rates, and Trade worries.
From our Dec. 30 Green Line Weekly “Normally when the FEAR is so high and Tammy has sold out after Buying High, the media will begin to print positive stories. And then in a few months the sentiment and confidence could flip, and eventually the Herd and Tammy would pile back in. Eventually the Markets should bounce back up to at least the Green Line.”
For nine years the Markets went up easily from FED Printing. The Printing ended last year and the Markets have not made progress (see Chart above). Investors that do not stay in sync with the MARKET RISK Chart and Buy in Green and Sell in Red, might become frustrated after a 10 year Bull up.
For the week the Dow was up 1.91%, the S&P 500 was up 2.16%, and the Nasdaq 100 was up 2.71%. The very Long Term Trend on the Stock Markets is UP.
The Inflation Index (CRB) was up 2.14% and is slightly Above the Green Line, indicating Economic Strength.
Bonds were down 1.69% for the week and are Above the Green Line, indicating Economic Weakness.
The US DOLLAR was up 0.12 and is back up in the Red Zone.
MONEY WAVE BUYS SOON:
Be patient and WAIT for Green Zone Buy Signals!
LONG TERM TRADES
Buy the Leading Investments that are down near the weekly Green Zones.
AVP AVON PRODUCTS Buy if is Closes above $3.41 on High Volume.
CIEN CIENA CORP. Wait for a Close above the Red Line of $28.34.
DXCM DEXCOM INC. Wait for a Close above the Red Line of $133.75.
KTOS KRATOS DEFENSE Wait for a Close above the Red Line of $15.75.
Alert! Market Risk is HIGH (Red Zone). The probability of successful Short Term Trades is better, when the % of stocks above the 50-day avg. is below 20.
Tell your Friends about the Green Line, and Help Animals.
QUESTION: Matt writes : “Who/what is “Tammy” that you speak of in your daily commentaries? Dying to know.”
ANSWER: Tammy does it all backwards… She Buys on Good News, and Sells on Bad News.
She Buys High and Sells Low. Don’t be Tammy!
Good trading, and tell your friends!