This is Turov on Timing for Monday, January 22, 2007.
The SPX advanced 4.13 points Friday to close at 1430.50, a virtually identical retracement of Thursday’s decline. The Dow Industrials, however, declined for the session, primarily a result of a sharp selloff in IBM. TOT daily traders were on the sidelines for the session as our initiation stop point was not elected.
Since initiation of the Turov on Timing service on September 30, 1993, our daily trader recommendations have gained 8883.50 cumulative SPX points, compared to a gain of 971.57 points in the index itself over the same period. That’s a ratio of 9.14 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. I will discuss this “perspective” further in the February monthly issue of TOT.
The intermediate term model remains neutral, although it is weakening.
The daily model is neutral today. That rating, rather than a bearish one, is primarily a function of the very strong NYSE advance/decline ratio on Friday, coupled with the fact that the SPX managed to advance on Friday – neither of which are common on January expiration Fridays. TOT daily traders are advised to stand aside and await a better risk/reward trading opportunity.
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 © 2007 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.