NET WORTH
PLUMMETS NEARLY 40%
NEW YORK (CNNMoney) -- The average American family's net worth dropped almost 40% between 2007 and 2010, according to a triennial study released Monday by the Federal Reserve…The stunning drop in median net worth -- from $126,400 in 2007 to $77,300 in 2010 -- indicates that the recession wiped away 18 years of savings and investment by families.
http://money.cnn.com/2012/06/11/news/economy/fed-family-net-worth/index.htm?iid=HP_Highlight
NEW YORK (CNNMoney) -- The average American family's net worth dropped almost 40% between 2007 and 2010, according to a triennial study released Monday by the Federal Reserve…The stunning drop in median net worth -- from $126,400 in 2007 to $77,300 in 2010 -- indicates that the recession wiped away 18 years of savings and investment by families.
http://money.cnn.com/2012/06/11/news/economy/fed-family-net-worth/index.htm?iid=HP_Highlight
Fortunately
the NTMS system has done better than that. NTSM is up about 75% over the same period. Our
results are shown in the Page linked at the right side of this page: Performance
of the Navigate the Stock Market system at http://navigatethestockmarket.blogspot.com/p/back-testing-navigate-stock-market.html
MARKET
The S&P 500 finished UP
1.2% to 1324. VIX fell 6% to 22.09 today, Tuesday. Seems
like Wall Street can’t decide what to do with this market. The S&P 500 is still below the upper
trend line so the trend is still down.
The S&P 500 is now
about 2.5% above the 200-dMA. It fell ½%
below the 200-dMA at its lowest point.
My guess at the beginning of this correction was that it might fall to
the 200-dMA. That was before a lot of
the Europe news came out. I can never
really tell how far the market will fall.
Collectively, the market is not always rational.
Sentiment is down to 38%
bulls. That’s getting fairly negative. Since Sentiment is a contrary indicator, low
bullish-sentiment is a buy signal if it’s low enough. The buy signal for Sentiment (not the entire NTSM
analysis) is currently 30%. So this
indicator may not be too far from a buy signal.
It has been 49-days since the
top. In 2010 the 16% correction ended
after 48-days. In 2011 it took 108-days
to get from top to bottom in the 19% correction.
NTSM
The NTSM remained HOLD Tuesday. Indicators improved today; all of the
indicators are currently neutral. The
analysis could switch to buy soon, but I never try to predict it. It could just as likely turn down.
MY INVESTED POSITION
I reduced my stock
holdings to 30% (0% in stock in the 401k) at S&P 1358 after the SELL signal
on 9 May 2012. (See the page “How to Use the NTSM System” – the link is on the
right side of this page). I cut my stock
position to 15% on 17 May in order to maintain a 10% gain in a
trading/longer-term position I had in the QQQ.
