08/23/17

Good Evening, The action today was decidedly negative. The dip buyers tried to step in and drive it back up but their effort today was again halfhearted with the major indices finishing in the red. The media spent most of the day trying to explain why the market was acting the way that it was acting. About half of them were blaming President Trump’s remarks about the Government shutting down and the other half were saying it was in anticipation of news that will come out of the World Economic Symposium in Jackson Hole Wyoming this Friday. While that all sounds good it is just another example of the market driving the news. Most investors could care less about what is going on in Washington. What they care about is the price of stocks and how they can stay a step ahead of the other traders. Another factor in this the computer algorithms that are written to buy and sell at certain technical levels. Again, it’s price that drives the market, not news. As I have always said it’s 95% price and 5% news. That’s the reason we often refer to news as noise……

The days trading left us with the following results: Our TSP allotment managed a slight gain of +0.02%. For comparison, the Dow lost -0.40%, the Nasdaq -0.30%, and the S&P 500 -0.35%. Thank God for another good day.

 

Wall Street falls as Trump threatens government shutdown

The days action left us with the following signals: C-Neutral, S-Neutral, I-Neutral, F-Buy. We are currently invested with 100% in the I Fund. Our allocation is now +11.52% on the year not including the days results. Here are the latest posted results.

 

08/22/17 Prior Prices
Fund G Fund F Fund C Fund S Fund I Fund
Price 15.4142 18.0374 34.264 43.4044 28.7056
$ Change 0.0009 -0.0244 0.3385 0.4422 0.0458
% Change day +0.01% -0.14% +1.00% +1.03% +0.16%
% Change week +0.02% -0.06% +1.12% +1.03% +0.22%
% Change month +0.14% +0.44% -0.54% -2.52% -0.60%
% Change year +1.50% +3.38% +10.98% +5.87% +16.68%
  L INC L 2020 L 2030 L 2040 L 2050
Price 19.0819 25.8805 28.9918 31.2917 17.9793
$ Change 0.0280 0.0724 0.1326 0.1685 0.1104
% Change day +0.15% +0.28% +0.46% +0.54% +0.62%
% Change week +0.18% +0.33% +0.52% +0.61% +0.69%
% Change month -0.04% -0.21% -0.46% -0.58% -0.70%
% Change year +3.65% +5.73% +8.03% +9.14% +10.13%

 

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: Keep an eye on this chart. It will lead us down and it will lead us back up.
I Fund:
F Fund: The current strength in bonds may be sending a bearish signal for stocks!
Nothing has really changed. The action has a negative spin to it. Many stocks are already in correction territory down ten percent or more. It’s actually more like a stealth correction as the selling rotates from sector to sector. One thing to pay attention to now is that the selling is in aggressive sectors such as consumer discretionary and tech. The sectors that or doing well are defensive in nature such as consumer staples and utilities. Couple that with a stronger bond market and your level of vigilance should be increased. Nothing too serious just yet mind you. However, this is not one of those times when you want to set it and forget it so to speak. That’s all for tonight. Have a nice evening and may God continue to bless your trades!
God bless, Scott 8-)
 
 ***Just a reminder that you can review the performance of our allocation at the Web Site TSPTALK.com in the autotracker section under the screen name KyFan1.
 
 
I produce and publish this blog as both a ministry and for the benefit of any Federal Government Employee. This is done to offer you some guidance as to how to approach your retirement more financially successful. When it is time for you to retire, I recommend you utilize the services of a Professional Money Manager, who works with a reputable investment firm. He understands the guidance you have already received and he can manage your savings assets utilizing a more advanced investment program into the future. 
 
If you would like to receive more information about this introduction, please feel free to contact me at  [email protected]. 

 

 

 

 

 



Written By

Scott Grimes

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