http://money.cnn.com/2012/09/06/investing/stocks-markets/index.html?iid=HP_LN
NEW YORK (CNNMoney) – “Things could be looking up for the job market.
Paycheck processing firm ADP said private companies added 201,000 jobs last month, up from 173,000 in July.” Full story at…
http://money.cnn.com/2012/09/06/news/economy/adp-jobless-claims/
BUSINESS INSIDER
ISM NON-MANUFACTURING“ISM services has soared past expectations, jumping to 53.7 from 52.6
It was expected to decline to 52.5.”
Read more: http://www.businessinsider.com/august-ism-services-2012-9#ixzz25j3pGk1w
That’s probably the real
reason for today’s market action. The
services sector of the economy looks very good and that will dampen the recession
bears.
WALL STREET JOURNAL (Ahead
of the Tape by Spencer Jacob)
The Wall Street Journal
reported today that Jason Schenker, president of Prestige Economics, said this
about yesterday’s low ISM manufacturing number: “Even though manufacturing ISM fell, it was a
marginal decline…(so) the modest growth story in the US is still in play.”
MARKET RECAP
Thursday the S&P 500
finished UP 2% to 1432 (rounded). VIX fell
about 12% to 15.60.
NTSM
The NTSM analysis remained
HOLD Thursday.
The S&P 500 traded up
to its upper channel today on a big move. Often the top is presaged by a large move to
the upside like we got today. That’s not
a tradable move (except for a short term trade for the gamblers who want to
short the market) because sometimes a big up-day is simply, well…a big up-day. On a longer term basis, my guess is that we’ll
see a top and the start of a correction in a month or so.
MY INVESTED POSITION
Based on the BUY signal, 6
July, I moved back into the market on 9 July (after the weekend) at S&P 500
1352.
I now have a 50% stock
allocation overall. For my age, that is
what most advisors recommend, however, I am normally much more aggressive. I have less invested in stocks now because
there’s a lot of risk.
