Weekly Average Momentum Index (AMI) rankings of HSA, SSPP, RSP, SELECT, ETF, iETF, sETF have been posted at http://sites.google.com/site/ycprankings
Trading signal occurs in RSP model portfolio: Sell 05084 (PYR SM CP CORE POOL), Buy ARGFX.
Disappointing company earnings push the stock markets down for another week. S&P 500 index closed the week at 1411, down 1.48%. Dow Jones Industrial Average lost 1.77%, and Nasdaq composite decreased 0.59%.
S&P 500 index closed this week near the short term support of 1400. Judging from the price action on Friday, we may see S&P 500 index rebound at this level next week even though we have not yet through with the company earning reports.
The recent market correction has weaken the US markets' momentum and affects more on the technology sectors than on the major industrial sectors. In the RSP ranking table, we can see the momentum indexes of international funds getting stronger, and the small cap funds and small cap indexes weakening more than those of large cap funds, which causes a trading signal in our RSP model portfolio.
Weekly Average Momentum Index (AMI) rankings of HSA, SSPP, RSP, SELECT, ETF, iETF, sETF have been posted at http://sites.google.com/site/ycprankings
Worst than expected company earnings from Google, GE, McDonald, ...etc. plunged Dow Jones Industrial Average for more than 200 points on Friday and wiped out the gain from the first four days of the week. S&P 500 index closed the week at 1433, up 0.32%. Dow Jones Industrial Average gained 0.11%, and Nasdaq composite decreased 1.26%.
S&P 500 index closed this week at the lower end of the trading channel again. The index tried to break through the top of the channel early in the week but did not succeed as the momentum is declining. More companies will report earnings next week. Judging from the earning news so far, we may see more volatility on the downside.
As many companies' stock prices are punished by the bad earning news, weekly chart of Apple which everyone is talking about these days turns interesting. Since 2009, stock price of AAPL has bounced off its 28 week moving average every time it touched or dipped below. We can see that this happened a couple of times in 2010 and 2011 from the chart below. Apple's price has come down from the recent high of $705 to $609, a bit below its 28 week MA right now. This may turn out to be an opportunity for people who have been wanting to get into Apple.
Weekly Average Momentum Index (AMI) rankings of HSA, SSPP, RSP, SELECT, ETF, iETF, sETF have been posted at http://sites.google.com/site/ycprankings
Trading signal occurs in iETF model portfolio: Sell EWN, buy INP
Weak company earnings and worries about Europe (agian!) handed stocks the worst week in four months. S&P 500 index closed the week at 1428, down 2.21%. Dow Jones Industrial Average lost 2.07%, and Nasdaq composite decreased 2.94%.
S&P 500 index closed this week at the lower end of the trading channel between 1475 and 1425. Its momentum decreased a bit but is still above 80. It will be interesting to see if the index can bounce back from this lower boundary next week. On the down side, there is a minor support at rounded number of 1400 and a stronger support at 1370.
We have discussed about the sub-par performance of iETF model portfolio being influenced by the volatility of international ETFs, and this week is another example. INP takes the number one rank spot this week and EWN has been pushed below the 7th rank in the iETF ranking table. After holding EWN for a short 32 days, iETF model portfolio issues a trading signal to change its holding to INP with only 0.2% gain.
Weekly Average Momentum Index (AMI) rankings of HSA, SSPP, RSP, SELECT, ETF, iETF, sETF have been posted at http://sites.google.com/site/ycprankings
Stocks continued their consolidation but encouraged by the home construction and job reports. S&P 500 index closed the week at 1460, up 1.41%. Dow Jones Industrial Average gained 1.29%, and Nasdaq composite increased 0.64%.
As shown in the weekly chart below, S&P 500 index has been in consolidation for the past 3 weeks trading between 1425 and 1475. Breaking the channel on the upside will resume the rally while breaking on the low side can take us to the 1360 support level. Judging from its high momentum, I see more upside from here than downside.
