The SPX declined 5.78 points Friday to close at 1091.65. TOT daily traders took a 15 point hit on 4 units during the anthrax scare meltdown and are currently flat.
The super long term perspective for the stock market remains bearish.
Both the long and short term models remain neutral.
On Friday, the futures gapped down on the 8:30 news that PPI was stronger than expected and retail sales lower than expected, and then jumped higher at 9:45 when the Michigan consumer numbers came out better than expected. But it was the anthrax news that did the damage as the market fell about a dozen S&P points in about a minute. For the day as a whole though, the market acted very well. Indeed, the futures closed two points higher than they opened, and the ten most active NYSE issues were evenly balanced at 5 up and 5 down. The NASDAQ composite actually closed up on the day.
The daily model is neutral today, and the market will likely trade with news. Short term, the market’s overbought, but momentum is good and the path of least resistance is probably still up. But news will call the shots.
Since initiation of this service on September 30, 1993, our daily trader recommendations have gained 6562.95 cumulative SPX points compared to a gain of 632.72 points in the index itself over the same period.
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