The SPX declined 8.08 points yesterday to close at 882.15. TOT daily traders were on the sidelines for the session.
Since initiation of this service on September 30, 1993, our daily trader recommendations have gained 7193.06 cumulative SPX points compared to a gain of 423.22 points in the index itself over the same period.
The super long term perspective for the stock market remains bearish.
The long term model remains bullish, and the short term model remains neutral. However, if the SPX advances today, the short term model will almost certainly uptick to bullish on tonight’s close. But, as I’ll discuss in a moment, that’s a big “however”.
On yesterday’s intraday hotline, I said if technical support at 875 were broken, that “I think it will be a “false” breakout,” and indeed it was as the market forged a nice comeback from the low at 867.91.
Today is a tough call in many regards. For one, the last two trading days of October have a very strong tendency to be up. For another, the week before elections tend to be up. For another, many longer term indicators are improving. For another, the market has shown great resilience against moving down sharply again after this month’s rally. So when the daily model came up bearish, it’s almost with a degree of pain that I report it.
But bearish it is, and TOT daily traders are advised to go 200% short at SPX 887.50. If you go short, use a protective buy stop at SPX 906. If the SPX declines to 870, lower the stop to 885. If anything important occurs before 3pm, I’ll update with a special email report extantly, and if there’s been no update by 3pm, I’ll update then.
Thanks for the opportunity to be of service to you, and I’ll email you again in a few hours.
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.