Markets are finally back down near the Green Lines (250 day avgs,) which is what we have been preaching about for many months now. Now most Indices are no longer over-bought, and are more Fairly Valued.
Usually Investments that just made New Highs, (like most Indices) will bounce when they get back down near the Green Lines. This has not happened since Nov 2016, so newer investors that bought on the Jan. Highs are scared and now their account values have dropped.
The current Open Positions are holding up ok Above the Green Lines, so some of the Sell Stop Losses have temporarily been Lowered down to the Green Lines until this selling Wave is over. The few very Strongest Leaders (BA AMZN NFLX NVDA) are still Above their Red Lines (50-day avgs.) indicating that there is really not much Selling going on.
Try to Buy Investments that recently made new Highs, and Held ABOVE the Red Lines. Usually these will bounce the quickest.
Crude Oil is down today at $60.70.
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Money Wave Buys soon!
The Following Investments will probably have a Money Wave Buy Signal soon.
(Slow Stochastic Closing > 20) on today’s Close.
BUYS TODAY NONE TODAY
Money Wave Buys soon for:
EBAY EBAY INC.
EWZ BRAZIL FUND
OIL CRUDE OIL FUND
ON ON SEMICONDUCTOR
PBR PETROBRAS OIL
RSX RUSSIA FUND
STX STORAGE TECH
WTI W&T OFFSHORE INC.
Please be patient and wait for Money Wave Buy Signals. We will email you when they are ready. Click on Watch List.
Emotions are very high now, so please do not Buy unless you are VERY NIMBLE. The Leaders are still Way Above the Green Lines (all Investments eventually return to their Green Lines).
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SELLS TODAY
LOWER HFC HOLLY FRONTIER Sell Stop Loss to the Green Line of $37.12 (until Mkt. sell off is over).
LOWER XBI BIOTECH FUND Sell Stop Loss to the Green Line of $79.37 (until Mkt. sell off is over).
Please Check PORTFOLIO (Open Positions) and adjust your Sell Stops.
Click for CLOSED POSITIONS.
Many like to Buy the day before, near the Close, if the Money Wave is going to create a Buy Signal (Closing > 20).
Don’t Buy if the Investment has already popped up too much. Money Wave Buys are usually good for a 3-6 % move in a few days. We will “Not Log” trades if the Reward/Risk is not at least 2:1.
HAVE A NICE WEEKEND!
Related Post
– OIL
What is the swing low?
Hi David. The Swing Low is Support for the last few days, where the Investment tries to Bounce.
We are betting that the Money Wave Indicator is correct, and the Investment has bottomed for the Short Term.
If not, we normally will EXIT.
EWZ Chart has a Swing Lown on Friday of $$41.84. EWZ Chart