Good Day, I know a lot of you are in the Panic mode. If you continue to listen to the media that’s exactly where you will remain. Whether the situation is bad or good, it’s cool heads with a game plan that will emerge from the carnage of a major selloff. So, what is our game plan in the wake of yesterdays historic vote by Britain to leave the EU? Simply put, our plan is to follow our system and not be enticed by the media and other external noise to turn to the left or to the right. Their conflicted reports can often lead to confusion and result in inaction. Don’t get me wrong. There’s a time to do nothing, but that should be dertermined from your charts and not from confusion. The charts will not tell you what is going to happen. Nobody can predict the future!!! What they can do is give you a clear and concise picture of what is going on right now and that picture is often quite different than what the so called experts are reporting. Sure some of them are correct, but remember hindsight is 20/20. The trick is to tell which ones are correct now and only the charts will tell the truth!! I would also be amiss not to add that seeking God and his guidance will give you an edge that the others will never ever have!!! So on to this coming week. After reviewing the charts I have determined that they indeed took a lot of damage. However, they are not yet giving sell signals. Until they do we must stay the course. After all, whose to say that the world might not decide on Monday the Brexit is not such a bad thing and who knows what effect the additional money coming into our market from a world economy that views the United Sates as a safe haven might have? We must not panic and sell until the charts tell us to do so for that reason. REMEMBER, PANIC IS NOT A STRATEGY!! That said our charts currently tell us that we might have a day or so before we sell if indeed the market continues to decline. Our system is to react to the action that’s before us as it unfolds. We use our charts to interpret what is actually happening amid all the noise from whatever calamity that’s taking place and right now that calamity is the Brexit!!!!!!!
So how much damage did it do? Our TSP allotment suffered a significant loss of -4.05% wiping out most of our gains for the year in a single session. For comparison the Dow dropped a whopping -3.39%, the Nasdaq -4.12%, and the S&P 500 -3.59%. None of it good.
Wall Street eyes low rates, earnings after Brexit rout
The days carnage left us with the following signals: C-Neutral, S-Neutral, I-Sell, and F-Buy. We are currently invested at 100/S but will move our money if the S Fund generates a sell signal in the coming days and it becomes necessary to preserve our capital. Our allocation is now +2.43% on the year. Here are the latest posted results:
| 06/24/16 | Prior Prices | ||||
| Fund | G Fund | F Fund | C Fund | S Fund | I Fund |
| Price | 15.0497 | 17.7875 | 27.7791 | 35.3053 | 22.6615 |
| $ Change | 0.0008 | 0.1006 | -1.0364 | -1.4782 | -1.9385 |
| % Change day | +0.01% | +0.57% | -3.60% | -4.02% | -7.88% |
| % Change week | +0.04% | +0.21% | -1.62% | -1.66% | -1.71% |
| % Change month | +0.12% | +1.24% | -2.71% | -2.58% | -5.84% |
| % Change year | +0.90% | +4.91% | +0.79% | +0.20% | -5.95% |
| L INC | L 2020 | L 2030 | L 2040 | L 2050 | |
| Price | 17.9151 | 23.2613 | 25.0229 | 26.459 | 14.912 |
| $ Change | -0.1747 | -0.5333 | -0.8146 | -1.0078 | -0.6496 |
| % Change day | -0.97% | -2.24% | -3.15% | -3.67% | -4.17% |
| % Change week | -0.28% | -0.70% | -1.00% | -1.18% | -1.35% |
| % Change month | -0.55% | -1.50% | -2.18% | -2.57% | -2.96% |
| % Change year | +0.80% | +0.23% | -0.16% | -0.42% | -0.76% |
