This is Turov on Timing for Tuesday, June 20, 2006.
The SPX declined 11.4 points yesterday to close at 1240.14. TOT daily traders went 200% long at SPX 1225 on Wednesday and took profits at SPX 1250 Friday and have been on the sidelines since then.
Since initiation of this service on September 30, 1993, our daily trader recommendations have gained 8907.92 cumulative SPX points, compared to a gain of 781.21 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, and the short term model remains bullish, albeit long in the tooth.
I’m a very reluctant bull today, but the daily model is bullish. TOT daily traders are advised to go 200% long at SPX 1241 stop or at SPX 1237 limit, whichever comes first. If you go long, use a tight 6 point protective sell stop on your position. If not stopped out, AND if the SPX is closing up on the day, carry your position overnight and into tomorrow. If the SPX is closing down on the day, liquidate your position on the close with the expectation of going short tomorrow.
The market is likely to work off its oversold condition with an unenthusiastic advance, and then head into the 1100’s. But for today, in the absence of negative news, the bulls should rule.
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.