This is Turov on Timing for Monday, October 29, 2007.
The SPX advanced 20.88 points Friday to close at 1535.28. TOT daily traders went 400% long at SPX 1522.17 (on a 1516 stop) and have carried the position over the weekend and into today
TOT daily traders have outperformed the SPX in 13 of the past 17 weeks, many of those by wide margins.
Since initiation of the Turov on Timing service on September 30, 1993, our daily trader recommendations have gained 10141.38 cumulative SPX points, compared to a gain of 1076.35 points in the index itself over the same period. That’s a ratio of 9.42 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.
The intermediate term model remains bullish.
The directional component of the daily model is also bullish today. However, the risk component of the model has skyrocketed, thereby throwing the overall model into neutral. TOT daily traders come into today’s session 400% long. Maintain your position, but because of the increased risk, use a tight protective sell stop at SPX 1532. If the SPX rises to 1538, raise the stop to 1534, and for each additional 2 point advance, raise the stop by an equivalent 2 points. If you are stopped out, attempt to re-purchase your position at SPX 1522. If repurchased at 1522, use a fresh protective sell stop on the new position at SPX 1514.
On the upside, in the unlikely event that the SPX reaches 1554, take your profit and stand aside for the balance of the session.
Whatever your position on the close (if any), carry it 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 © 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.