The SPX declined 0.57 point yesterday to close at 1642.81. TOT daily traders were stopped out of Friday’s position, and we are currently flat.
Since initiation of the Turov on Timing service on September 30, 1993, our daily trader recommendations have gained 13617.61 cumulative SPX points, compared to a gain of 1183.88 points in the index itself over the same period. That’s a ratio of 11.50 to one.
(The commentary in this paragraph last updated June 6) The super long term perspective for the stock market remains bearish (as it has been since January 2000 after having been bullish from December 1974 until then). Since February 12th, I’ve said that I expect the 2009-2013 cyclical bull market to end in “Spring 2013”. It is too soon to know whether the May 22nd intraday high of 1687.18 marks that end or not.
(The commentary in this paragraph last updated June 6) Intermediate Term Model comment: The “wave” of trading that brought the market to new highs is unlike any pattern that has appeared during the 21st Century. It was unlike the blowoffs in either 2000 or 2007 or, for that matter, like anything else. To quote Art Cashin on CNBC in May: “This is a very different kind of market than we’ve ever seen.” The selloff since the May 22nd intraday high of 1687.18 does not negate those comments, but it is possible that the high of this bull market has already been seen.
I expect to see the market move lower in the early going, but if it does, I expect it to recover later in the day. TOT daily traders are advised to go 200% short at the market. Once short, use a 1% protective buy stop on the position. If the SPX is down on the day at 10:45, cover the position and move to the sidelines. If the SPX is up on the day at 10:45, hold the position and maintain the stop
Thanks for the opportunity to be of service, and I’ll email you again prior to the close if still short as we approach the close; otherwise in 24 hours.
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