I was reading “Dow could plunge to 8,000,” which supports another view of the potential downside market risk. Here are some highlights: Dozens of companies this past month posted blow-out earnings but instead of being thankful, investors stomped their feet and sold. The result: The Dow Jones industrial average fell 3.5 percent in January, the worst month for stocks since …
No Load Fund/ETF Tracker updated through 2/4/2010
My latest No Load Fund/ETF Tracker has been posted at:http://www.successful-investment.com/newsletter-archive.phpEuro land worries and not a great jobs report gave the bears the ammunition to pull the major indexes lower. However, a sharp rebound on Friday prevented a third down day in the markets. Our Trend Tracking Index (TTI) for domestic funds/ETFs has now crossed its trend line (red) to the …
Going Sideways For 5 Years?
Reader Jim posed an interesting question: Just read this article on Morningstar about the likelihood of a sideways market over the next 5+ years. Basically, the author, a senior vice-president at Legg Mason (fancy title for being a “chief salesman”) think we’ll likely be in a sideways stock market where momentum investing won’t work very well and value stock picking …
Reader Q+A: More Sell Stop Clarifications
Some readers were still having trouble about the proper implementation of the sell stop discipline during the recent market pullback: In my government thrift fund, I can chose from S&P; 500, small cap, international, bond and treasuries. The international fund dropped to just over 7% of its 1/14 high today but your international fund trend line is still in positive …
The Best Laid Plans
I mentioned in last Friday’s update that a couple of our holdings triggered their sell stop points and were scheduled to be sold yesterday. As I have talked about numerous times, I do look at market activity first; just to be sure a rebound is not in the making before pulling the trigger. As it turned out, a rebound was …
Does The Bull Still Have Room To Run?
Saturday’s video featuring Bob Prechter supported the view that a potential top similar to 2007 has been formed. For an opposing view, take a look at “Bulls still fit to fight:” Stephen L. McKee, editor of the No-Load Mutual Fund Selection & Timing Newsletter, says that while investors may be worried about a market correction, they should be looking for …