That’s
a good question in this market; but I still feel we are headed down to make a
low that is lower than the 1119 that we set on 8 August just 3-weeks ago.
There
is a slight uptrend visible in the charts, but the slope upward is too flat to
be believed. Today’s rally was widely
attributed to short covering. It
probably was and that may portend a turnaround (back down) soon.
The
Government revised the GPD number for last quarter down to 1%.
Consumer
spending was slightly above forecasts.
None of this data is particularly market moving so the market is trading
on technicals until we get more info.
A
big move up, like today’s, is often an indication we are at a short term
top. It is followed by a down day around
60% of the time. So the odds favor a
turn down soon.
NTSM
is HOLD today.
I sold on the 27 July sell signal at S&P 500 1301 and I am
defensively positioned with only a small amount of my portfolio invested in
stocks. (Zero stocks in the 401k.) I am 50% short in the trading portfolio.
(See
the page “How to Use the NTSM System” – the link is on the right side of this
page).
