Fund Rankings Update, 9/4/2015

Weekly Average Momentum Index (AMI) rankings of HSA, SSPP, RSP, SELECT, ETF, iETF, sETF have been posted in "Rankings", "Trading Logs" pages, and  http://ycprankings.awardspace.us/RankingTables.htm.

Stocks declined with same high volatility due to lingering concern about slow down in China's economy and worries abut Fed's first rate hike.  For the week S&P 500 index closed at 1921, down 3.4%, Dow Jones Industrial Average lost 3.25% and Nasdaq composite index ended up lower by decreasing 2.99%.

Weekly chart of S&P 500 index

 S&P 500 index failed to climbed above 2000 to get a rebound, in turn, it went back to retest the 1900 level this past week. As S&P 500 index did not get a bounce this week, wee can rule out a "V" shape rebound like we had in October last year.  This correction looks to be more like the correction we had in August - October, 2011.  At that time, the index fell 18% from the high of 1350 to 1100 and stayed below the trend line for two and half months. This rally has been more than 2 years long and is due for a meaningful correction. The best scenario is for the index to hold the 1900 level and traded between 1900 and 2000 for a few weeks before meeting the trend line. The index is currently trading at the lower end of this channel and we will see how it goes in the next few weeks.