The SPX declined 18.37 points Friday to close at 800.58. Through a very strict interpretation of pricing, TOT daily traders were stopped out with a 10 point loss on two units, but many subscribers were not stopped out. Yet, for our track record, we will use the most conservative reporting, and treat it as a loss.
Since initiation of this service on September 30, 1993, our daily trader recommendations have gained 7129.21 cumulative SPX points compared to a gain of 341.65 points in the index itself over the same period. That cumulative figure has been slightly lowered to adjust for an accounting discrepancy.
The super long term perspective for the stock market remains bearish.
Both the long and short term models remain bullish, although the short term model is on thin ice..
The directional component of the daily model is very bearish today, but the risk component is almost at maximum. That means that while the probability is that the market will decline today, it is extremely susceptible to a major short covering rally should positive news come out. That risk would dissipate significantly if the market were to rally 15 or 20 points, and if that rally were accompanied by negative divergence on the intraday model. But, that’s a lot of ifs. I’d like to recommend going short here, but the risk is just too high for what’s intended to be a once a day service, rather than an intraday scalping service. So we will stand aside (although we will update with an intraday email if the previously described parameters are met). But unless that occurs, we’ll watch from the sidelines.
Thanks for the opportunity to be of service to you, and I’ll email you again in 24 hours – or less if circumstances warrant.
Turov on Timing is Copyright (c) 2002 by Turov Investment Group Inc. All rights reserved. Turov on Timing is for personal use only. Re-publication and distribution is strictly prohibited. No part may be reproduced without the permission of the publisher.