11/22/2020 Markets were mostly lower for the week as the major Indices are back up near the Highs (Resistance). Profit taking has been coming in near the Highs. The Markets have been running up on Good News about Low Interest Rates, favorable Virus Vaccine news, and better than expected Earnings. Probably the only Good News left for the Short Term would be another Stimulus Plan.
The Markets are now over-bought and probably need a Stimulus Plan to go higher. The CNN Fear & Greed Index went back up to 70, from a recent low of 23 earlier this month.
For the week the Dow was down 0.89%, the S&P 500 was down 0.77%, and the Nasdaq 100 was down 0.19%. The Long Term Trend for the Indices is up.
The Inflation Index (CRB) was up 2.84% and is Above the Green Line, indicating Economic Strength.
Bonds were up 2.12% for the week and are Above the Green Line, indicating Economic Weakness.
The US DOLLAR was down 0.40% for the week and is Below the Green Line.
Crude Oil was up 5.71% for the week at $42.42 and GOLD was down 0.73% at $1872.40.
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MONEY WAVE BUYS SOON
We are currently in 6 logged Current Positions, for the Short & Medium Term. There are 2 Investments on the Short Term Watch List.
Be patient and WAIT for Green Zone Buy Signals!
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LONG TERM INVESTMENTS (Most of the Leaders are back up in the Weekly Red Zones.)
Buy the Leading Investments that are down near the Weekly Green Zones.
ALT ALTIMMUNE INC. Buy if it Closes above the Red Line of $12.25 on High Volume.
CRON CRONOS GROUP Buy if it Closes above $9.00 on High Volume.
FCEL FUELCELL ENERGY INC. Shot up 92 % this week!
INSG INSEEGO CORP. Buy when it Closes above the Red Line around $9.85.
NVAX NOVAVAX INC. Buy when it Closes above $98.24.
RIOT RIOT BLOCKCHAIN Shot up 50 % this week!
VBIV VBI VACCINES INC. Bought above the Red Line of $2.81 this week. Target is $4.25. EXIT if it is going to Close below the Green Line of $2.48.
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Click for Current Positions
Click for Watch List
Click for Closed Positions
Long Term Strategy for IRAs & 401k Plans
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.
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QUESTION: Jeff writes “Hello, in trying to understand your DONT TAKE A LOSS comments, why don’t you raise the stop loss when the stock is up so much? I am not capturing a lot of upside as I get out conservatively (I stopped myself out at 20% on this trade). Is the point to let them run with a large stop loss to capture maximum upside?
ANSWER: Hi Jeff. When the Money Wave > 50, then the Stop is raised to the Buy Price. (Don’t Take a Loss!). There was also a Target on MGNI of $12, so you could Raise the Stop to $12.
In this Market, we do just what you do: Blow out with a nice gain… Holding on for more could be determined by calculatin a Reward / Risk ratio of 2:1 (which would also say SELL). Some members may be longer term, or like to follow the Rules.
Thanks for writing.
ATGL