The SPX declined 3.16 points yesterday to close at 1106.73. The daily model correctly predicted the decline, but unfortunately, TOT daily traders were stopped out of our minimal 100% short position at SPX 1116 on early morning excitement over the GDP numbers.
The super long term perspective for the stock market remains bearish.
Both the long and short term models remain bullish.
As I said on yesterday’s hotline would be likely, the daily model is bullish today. TOT daily traders are advised to go 300% long at SPX 1108 stop or at 1098 limit, whichever comes first. If you go long, use a 15 point protective sell stop. If not stopped out, carry the position over the weekend and into Monday.
The market continues to bounce around in response to the news of the moment, but the most probable short term direction is up. A big selloff in late Spring is certainly possible, but I don’t’ see it happening just yet.
Since initiation of this service on September 30, 1993, our daily trader recommendations have gained 6646.80 cumulative SPX points compared to a gain of 647.80 points in the index itself over the same period.
Have a great weekend Thanks for calling, and I’ll speak with you again in 72 hours.