For a week every investor seemed to be headed for the exits. Then one day the masses decided that was the wrong decision and reversed course. Were they right to exit or are the stock markets the place to be again?
We really wish we could provide you an answer, but we can’t, and neither can anyone else. All we know is that currently all but one of our covered ETFs (GLD) is in a Downtrend and should be avoided at this time.
We’re not rushing back in like many other investors because, we need to see more price gains off a bottom to get a Trend change signal. One day, one week, or sometimes even one month of gains are not necessarily enough to signal a true change in direction. So, for now we are maintaining our negative stance on all our ETFs except GLD.
As a reminder, since we use weekly pricing for our change to an Up Trend those changes are only signaled after the market closes on a Friday. So there is no need for you to closely monitor the market waiting for a Trend change. Any change from a Down Trend to an Up Trend will appear in our weekend post before the markets open the next week. Giving you ample opportunity to take advantage of the change.
