Weekly Average Momentum Index (AMI) rankings of HSA, SSPP, RSP, SELECT, ETF, iETF, sETF have been posted in "Rankings", "Trading Logs" pages, as well as in http://ycprankings.awardspace.us/RankingTables.htm.
Trading signal occurs in SELECT model portfolio: Sell FSESX, Buy FSRBX
Stocks advanced higher for another week with S&P 500 index and Dow Jones Industrial Average reaching record highs while the technology laden Nasdaq composite index and the small cap Russel 2000 index stay a bit below their all time highs. Economic data for consumer spending, manufacturing activities and jobless claims released during the week all supported the positive investors sentiment, and the inflation data is tamed enough to temper the investors' anxiety for rising yields. For the week, S&P 500 index went up 1.37% to 4185, Dow Jones Industrial Average gained 1.18%, and the technology laden NASDAQ composite index increased 1.09%.
S&P 500 index continued to move higher and looks to be making a parabolic rise which we don't like to see. The index is 10.8% above its 28 week moving average and caution is warranted going forward. As this rally is driven by rebound in technology sectors and the NASDAQ composite index has not reached its previous high yet, we may still see the stocks going higher for another few weeks before some consolidation occur.
A trading signal occurs this week in SELECT model portfolio to move from energy service sector fund, FSESX to banking sector fund, FSRBX, due to sector rotation. We have held FSESX for only 46 days with a loss of 14.8% as the fund can not maintains its upward momentum.
 |
| Weekly chart of S&P 500 index |
No comments:
Post a Comment