ETF/No Load Fund Tracker StatSheet
————————————————————-
THE LINK TO OUR CURRENT ETF/MUTUAL FUND STATSHEET IS:
————————————————————
Market Commentary
DIVE ON WALL STREET CONTINUES; DOMESTIC TTI SELL SIGNAL CONFIRMED
1. Moving the Markets
Stocks fell sharply again Friday as Wall Street suffered a third straight day of losses and the worst weekly loss in 10 weeks.
It seems investors are finding more reasons to hold off on buying stocks, with worries ranging from overvalued stocks, higher interest rates, weak results from key retailers like Macy’s (M) and ongoing angst over the impact of China’s economic slowdown.
Traders were also digesting October retail sales numbers that disappointed, which added to more recent fears about the strength of the Holiday selling season prompted by weak earnings and guidance from department stores Macy’s and Nordstrom.
Oil prices continued to fall as well today, as the U.S. benchmark crude was on the verge of dropping below $40 a barrel. West Texas Intermediate crude dropped 2% to $40.77 a barrel.
This morning, when checking the markets, I was greeted with a sea of red numbers around the world. So I did what I posted yesterday by not only liquidating some of our sector funds but I opted to go to cash 100%. Good thing as the downside momentum accelerated into the close, which may not bode well for Monday’s opening.
This brings to an end a very short domestic Buy cycle, which lasted barely 10 days. Again, the idea of Trend Tracking is to sidestep portfolio destroying bear markets. To accomplish this goal, we will have to occasionally participate in “whip-saw” signals, which are simply a form of insurance we have to pay in order to avoid a potential disaster. For the exact TTI numbers, please see section 3 below.
As the sell-off gained steam, all of our 10 ETFs in the Spotlight headed south with the worst performer of the day being Consumer Discretionaries (XLY) by surrendering -2.63%. Holding up well was Healthcare (XLV), which posted a modest -0.24% loss.
