Market-2

 

10/01 /2016:  Markets were mixed for the week, as the S&P 500  is still trying to go back up to re-test the August high of 2194. If the S&P 500 does not blow thru the August highs, the Markets could be in trouble. Only the Semiconductors and Oil Stocks were strong this week.

Mixed, or sideways Markets indicate indecision from Investors… Apparently many are waiting until our Elections are over next month before making many changes. What we do know, is that Markets are about 5% Above the Green Line, so October could bring in some Selling, back down to the Green Line.

Silver SLV had a Money Wave Buy on Friday. We are currently invested in 6 Open Positions.  

Many Leading Funds are now in the Red Zones (probably too late to Buy for the Short Term). We will wait for Green Zone Buys, when Money Waves > 20 .  We will email you when they are ready.

Charts for Leaders     Watch List Page     Closed Positions

Alert! Market Risk High (Red Zone). The probability of successful Short Term Trades is lower, when the S&P 500 is Way Above the Green Line. Even the Strongest Funds can get chopped up. Either take quick gains from Money Wave Pops, or STAY IN CASH & WAIT for a larger correction.

 

QUESTION from Steve L:

How do I set up a link to my twitter?

ANSWER:

Go to https://twitter.com/AboveGreenLine

Sign in or sign up for Twitter.

Make sure you Follow “Above the Green Line”

Also click on wheel and click “Turn on mobile notifications”

 

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– Thursday Sep 29, 2016

 

09/29 /2016:  Markets dropped today as buyers had no news and many Investments are very over-bought. The S&P 500 wants to re-test the August Highs of 2194, but needs help from Bonds.
If the S&P 500 does not blow thru the August highs, the Markets could be in trouble. Support is 2119 on the S&P 500.

Current Open Positions

Money Wave Buys on Thursday for  AMAT  BVN  CDE

Soon for EXAS   RICE    SLV   We will email you when they are ready.

Charts for Leaders     Watch List Page    Closed Positions.

 

Alert! Market Risk High (Red Zone). The probability of successful Short Term Trades is lower, when the S&P 500 is Way Above the Green Line. Even the Strongest Funds can get chopped up. Either take quick gains from Money Wave Pops, or STAY IN CASH & WAIT for a larger correction

 

Question from Jim: 

“I thought you were using the SMA 10 on AMD as the stop which is 6.30 yet I checked the Open Positions page and saw that you stopped out at 6.50. What are you using that made you raise the stop to 6.50? Trying to understand the rules. Thanks, Jim”

Answer: AMD was struggling again at $6.65 Resistance… Normal Stop Loss by the RULES would have us stay in until it Closed below $6.30.  We have gotten burned several times this year buy not capturing an 8% gain, so we over-rode the Rules and Sold at $6.50 before the Close (and sent out email). A bird in the hand, has been better lately in this Market…

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– Tuesday Sep 27, 2016

 

09/27 /2016:  Markets were up today, as the S&P 500 wants to re-test the August Highs of 2194.
If the S&P 500 does not blow thru the August highs, the Markets could be in trouble. Support is 2119 on the S&P 500.

Current Open Positions

Money Wave Buys soon for  AMAT  BVN  CDE  EXAS  GDXJ PBR RICE  We will email you when they are ready.

Charts for Leaders     Watch List Page    Closed Positions.

Alert! Market Risk High (Red Zone). The probability of successful Short Term Trades is lower, when the S&P 500 is Way Above the Green Line. Even the Strongest Funds can get chopped up. Either take quick gains from Money Wave Pops, or STAY IN CASH & WAIT for a larger correction.

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– Monday Sep 26, 2016

 

09/26 /2016:  Markets dropped down today, as most of the Leading Funds were in the Red Zones, and needed to correct.
If the S&P 500 does not blow thru the August highs, the Markets could be in trouble. Support is 2119 on the S&P 500.

We stopped out of SINA today for a 5 cent loss, and only have 1 position left: AMD    Current Open Positions

Most Leading Funds were in the Red Zones (probably too late to Buy for the Short Term). Money Wave Buy soon for AMAT.

We will wait for Green Zone Buys, when Money Waves > 20 .  We will email you when they are ready.

Charts for Leaders     Watch List Page    Closed Positions.

Alert! Market Risk High (Red Zone). The probability of successful Short Term Trades is lower, when the S&P 500 is Way Above the Green Line. Even the Strongest Funds can get chopped up. Either take quick gains from Money Wave Pops, or STAY IN CASH & WAIT for a larger correction.

 

Question from Henry: 

I have most of my money in my 401k at work.  My investment choices are fairly limited – index funds that have penalties if sold within 30 days, and some other domestic and international funds.  Is there another momentum strategy that you suggest being so limited and not being able to do a short term strategy?

Answer:  

Since you don’t have many options in your 401k plan, you might want to just wait in CASH for Larger Sell-offs, and Buy then for a few months.
Markets are now in the 2^nd LONGEST Bull in History, so expect a Recession soon, to make Stocks CHEAP.
Keep this Link to the Chart … You might want to Dip in the S&P when the Chart is way down in the Green Zone for a few months pop (like it did in August 2015).

There are other good Indicators like the Volatility Index  to see if Markets are good and washed out of Sellers (like it was last year).

Related Post

– Weekly Commentary Sep 24, 2016

 

09/24 /2016:  Markets were up for the week, as the S&P 500  is going back up to re-test the August high of 2194. If the S&P 500 does not blow thru the August highs, the Markets could be in trouble. The NAZDAQ 100 made new Highs

Last time the Markets went up to highs, Bonds were also making new Highs, and Interest Rates were on new Lows.  Not this time, and Low Interest Rates seem to be keeping the Markets up.  The New York Index, is making  Lower High which could be a  FAILURE, so we are being cautious. We are only doing Short Term Money Wave trades now, since this Bull is almost 8 years old.

When Commodities finally bottom after making a 13 year lows last year, Bonds should peak.

The Precious Metals popped this week on NO FED RAISE, and we were able to capture Gains on GDX AG PAAS EWZ CDE & SLV.

Oil did not perform and we stopped out of PE WPX & CLR for small losses. See Closed Positions.

Most Leading Funds are now in the Red Zones (probably too late to Buy for the Short Term). We will wait for Green Zone Buys, when Money Waves > 20 .  We will email you when they are ready.

Charts for Leaders     Watch List Page     Current Open Positions

 

Alert! Market Risk High (Red Zone). The probability of successful Short Term Trades is lower, when the S&P 500 is Way Above the Green Line. Even the Strongest Funds can get chopped up. Either take quick gains from Money Wave Pops, or STAY IN CASH & WAIT for a larger correction.

 

QUESTIONS:  David asked “I noticed that a lot of the open positions have stops at the same price as the purchase vs “place at recent low (support)”. Can you clarify the stop strategy? Thanks!”

ANSWER:  After the Money Wave is > 50, raise your Stop Loss to where you bought it.  See RULES.

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– Thursday Sep 22, 2016