Good Evening, I made it back safe and sound. I’ll bet you hardly missed me. The market was negative for the second straight session pulled down by the Nasdaq and the Tech Sector. It did so on high volume too. There was really no good reason for the dip in tech other than the fact that the sector was getting too hot and was overdue for some profit taking. Once the selling started everybody wanted to protect their sizeable gains. The Nasdaq is up over 15% this year so I can say as I blame them. As of this time, key support is holding on the Nasdaq chart so I’m not overly concerned that this will turn into a market wide correction which is defined as a drop of 20% or more. Tech has been leading the market up for a while so what I really expect will happen is that this leadership will rotate into the next hot sector which I expect will be financials. However, I wouldn’t make that bet on that ahead of the conclusion of the FED meeting on Wednesday. The FED is largely expected to increase interest rates which should boost financials which benefit from higher rates. That’s nice to know for your money outside thrift but how might that effect your TSP account. If that scenario plays out all the major indexes should have support. So our TSP funds will be fine. They will just be buoyed by another sector. All that said, the next big market hurdle will be Wednesdays FED announcement. While we all think that an interest rate increase is already baked into to the prices we never know for sure. That scenario should be a non issue, but again, we never know for sure. Then there’s still a small possibility that the FED holds rates steady. Remember, the market hates surprises and uncertainty so look for a sell off if that occurs. Well….that’s pretty well the current state of the market. So how did we do today?
The day’s trading left us with the following results: Our TSP allotment gave up -0.38%. For comparison, the Dow dropped -0.17%, the Nasdaq -0.52% and the S&P 500 500 -0.10%.
Wall St. falls as Apple drags tech shares lower
The days action left us with the following signals: C-Buy, S-Buy, I-Neutral, F-Buy. We are currently invested with 100% in the I Fund. Our allotment is now +9.51% on the year not including the day’s results. Here are the latest posted results:
| 06/09/17 | Prior Prices | ||||
| Fund | G Fund | F Fund | C Fund | S Fund | I Fund |
| Price | 15.3439 | 17.9049 | 33.8403 | 43.9944 | 28.1883 |
| $ Change | 0.0009 | -0.0041 | -0.0280 | 0.0352 | -0.0220 |
| % Change day | +0.01% | -0.02% | -0.08% | +0.08% | -0.08% |
| % Change week | +0.04% | -0.15% | -0.27% | +0.13% | -1.16% |
| % Change month | +0.06% | +0.05% | +0.87% | +2.24% | +0.24% |
| % Change year | +1.03% | +2.62% | +9.61% | +7.31% | +14.58% |
| L INC | L 2020 | L 2030 | L 2040 | L 2050 | |
| Price | 18.9675 | 25.6984 | 28.7511 | 31.0182 | 17.817 |
| $ Change | -0.0016 | -0.0053 | -0.0098 | -0.0124 | -0.0079 |
| % Change day | -0.01% | -0.02% | -0.03% | -0.04% | -0.04% |
| % Change week | -0.07% | -0.18% | -0.29% | -0.35% | -0.39% |
| % Change month | +0.22% | +0.38% | +0.58% | +0.68% | +0.77% |
| % Change year | +3.03% | +4.99% | +7.14% | +8.19% | +9.13% |
Now lets take a look at the charts. All signals are annotated with green circles. If you click on the charts they will become larger.
C Fund:
S Fund:
I Fund: A little weakness here but still the best SCTR. We should be fine.
F Fund: Although we have a buy signal here, it is not on solid ground. Check out the MACD and SCTR.
The summer market is never fun! That’s all for tonight have a great evening and I’ll see you tomorrow.
