The SPX declined 2.14 points Friday to close at 1287.24. TOT daily traders were on the sidelines and missed absolutely nothing.
Since initiation of this service on September 30, 1993, our daily trader recommendations have gained 8586.41 cumulative SPX points, compared to a gain of 828.31 points in the index itself over the same period.
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 long term model remains neutral. The short term model has downticked to neutral. Repeating, the short term model is now neutral.
Friday’s session was actually rather mixed. Advancers led decliners by about 400 units on the NYSE but lagged by about 300 units on NASDAQ. The Dow, SPX and NASDAQ declined, but the NYSE Index advanced a tad. Six of the ten most active NYSE issues advanced, but the biggest moves were to the downside.
The daily model is modestly bearish today. I wish that it were more so, but it is not. TOT daily traders are advised to go 200% short at SPX 1286.50 stop or at SPX 1289.60 limit, whichever comes first. When you go short, use a 10 point protective buy stop on the position. If not stopped out, carry your position overnight and into tomorrow.
My intuition tells me the market is ready to crack wide open, but my indicators do not support that intuition at the present time. Trade with caution.
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 (c) 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.