This is Turov on Timing for Monday, August 7, 2006.
THE AUGUST MONTHLY ISSUE OF TUROV ON TIMING IS ATTACHED TO THIS EMAIL.
The SPX declined 0.91 point Friday to close at 1279.36. TOT daily traders went 300% short at SPX 1286 and have held the position over the weekend and into today.
For last week as a whole, TOT daily traders recommendations gained 13.02 cumulative SPX points, compared to a 0.81 point gain in the SPX. It was the 18th week out of the past 23 weeks in which the TOT daily traders recommendations were profitable, and it was the 19th week of the past 23 weeks in which the TOT daily traders recommendations outperformed the SPX.
Since initiation of the Turov on Timing service on September 30, 1993, our daily trader recommendations have gained 8960.27 cumulative SPX points, compared to a gain of 820.43 points in the index itself over the same period. That’s a ratio of 10.92 to one.
The super long term perspective for the stock market remains bearish (as it has been since January 2000), and it’s unlikely anything will change that for several years.
Both the long and short term models remain bearish, although, surprisingly enough, both are improving.
The directional component of the daily model is bearish today, but the risk component is sky high, moving the overall model into neutral mode. TOT daily traders come into today’s session 300% short from SPX 1286. I recommend holding the position, despite the high risk, but use a breakeven buy stop at SPX 1286. If the SPX declines to 1275, lower your stop to SPX 1280, and for each additional 5 point decline, lower your stop by an equivalent 5 points. If not stopped out, carry your position overnight and into tomorrow.
Thanks for the opportunity to be of service, and I’ll email you again in 24 hours – or sooner if circumstances warrant.
Turov on Timing is Copyright © 2006 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.