The SPX advanced 7.04 points yesterday to close at 974.12. TOT daily traders were on the sidelines for the session.
Since initiation of this service on September 30, 1993, our daily trader recommendations have gained 7801.46 cumulative SPX points compared to a gain of 515.20 points in the index itself over the same period.
The super long term perspective for the stock market remains bearish, and it’s unlikely anything will change that for several years.
Both the long and short term models remain bearish.
The daily model is bearish today. TOT daily traders should go 300% short at SPX 979 limit or at SPX 969 stop, whichever comes first. If you go short, use a 12 point protective buy stop. If not stopped out AND if the SPX is closing down on the session, carry your position over the weekend and into Monday. However, if the SPX is closing up on the day, then cover your short before the close and go into the weekend flat. If the SPX is up today – contrary to expectations – then the daily model cannot be bearish on Monday.
The market will very likely test the 950 level before next week is out and the 930 level before Labor Day. How much lower than that it goes will likely depend on news, but there is a possibility of a much steeper decline than seems probable at the present time as the market’s underpinnings are made very soft.
Have a great weekend, thanks also for the opportunity to be of service, and I’ll email you again in 72 hours – or sooner if circumstances warrant.
Turov on Timing is Copyright (c) 2003 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 publisher.