This is Turov on Timing for Tuesday, August 28, 2012.
The SPX declined 0.69 point yesterday to close at 1410.44. TOT daily traders came into the session 300% short and were stopped out prior to the SPX descending. We are currently flat.
Since initiation of the Turov on Timing service on September 30, 1993, our daily trader recommendations have gained 13189.72 cumulative SPX points, compared to a gain of 951.51 points in the index itself over the same period. That’s a ratio of 13.86 to one.
The super long term perspective for the stock market remains bearish (as it has been since January 2000 after having been bullish from December 1974 until then). When the current cyclical bull market ends (and at present, my best educated guess is that it has not ended, but it will end later this year or early next), expect another nasty crash to perhaps finally bring an end to the long term bear market that began in 2000.
The Intermediate Term Model remains bullish. Timer Digest (www.TimerDigest.com) ranks Turov on Timing’s Intermediate Term Model the third most accurate in the United States for the past 12 months (see attachment).
The most likely pattern for the rest of the week would be a zig-zag, with today being down, Wednesday up, Thursday down, and Friday up.
The daily model is bearish today. TOT daily traders are advised to go 300% short at SPX 1410 stop. If the SPX advances to 1414 before reaching 1410, raise the entry sell stop to SPX 1412. And for each additional 2 point advance, raise the entry short stop by an equivalent 2 points. If not done by 10:30, consider the recommendation cancelled. Once short, use a 1% protective buy stop on the position until 10:45. At 10:45, if the position is unprofitable, take your loss; if profitable, lower your buy stop to a breakeven. If not stopped out prior to the close, cover the position on the close and go overnight flat.
Thanks for the opportunity to be of service, and I’ll update again in 26 hours – or sooner if circumstances warrant.
Turov on Timing is Copyright © 2012 by Turov Investment Group Inc. All rights reserved. Turov on Timing is for personal use only. All caveats and advisories that appear in the monthly Turov on Timing apply equally to this email. Re-publication and distribution is strictly prohibited. No part may be reproduced without the permission of the Turov Investment Group Inc. All recommendations are based on the Standard & Poor’s cash index (SPX) which cannot be directly traded and Turov Investment Group Inc. makes no recommendation or suggestion to readers as to how SPX-based recommendations should be traded but rather leaves that to the discretion of each individual reader. The “official” price of the opening and closing SPX is as reported at www.bigcharts.com and may not be consistent with futures or ETF prices. All stop recommendations are based on that “official” price. Any recommendation that is to take place at a specific time is basis the “opening” on a one minute bar chart beginning at that time and ending one minute later. All times mentioned are Eastern. Questions related to this service should be directed to InvestmentAdvice@aol.com.