Good Evening,
Everything was up today. Our charts correctly predicted the bounce in Bonds so all is good for now. Let’s take a look at it all….
You can thank two men for Thursday’s zooming stock prices: Mario Draghi and David Tepper.
The day’s action left us with the following signals: C-Buy, S-Buy, I-Buy, F-Neutral. We are currently invested at 08/’G, 92/F. Our allocation is now -3.17% on the year. Here are the latest posted results:
| 06/04/14 | |||||
| Fund | G Fund | F Fund | C Fund | S Fund | I Fund |
| Price | 14.4309 | 16.3095 | 25.1344 | 34.3804 | 26.609 |
| $ Change | 0.0009 | -0.0040 | 0.0516 | 0.1589 | 0.0071 |
| % Change day | +0.01% | -0.02% | +0.21% | +0.46% | +0.03% |
| % Change week | +0.03% | -0.59% | +0.26% | +0.41% | +0.05% |
| % Change month | +0.03% | -0.59% | +0.26% | +0.41% | +0.05% |
| % Change year | +1.01% | +3.61% | +5.27% | +2.11% | +4.09% |
| L INC | L 2020 | L 2030 | L 2040 | L 2050 | |
| Price | 17.1367 | 22.4508 | 24.2727 | 25.7669 | 14.631 |
| $ Change | 0.0074 | 0.0229 | 0.0326 | 0.0413 | 0.0262 |
| % Change day | +0.04% | +0.10% | +0.13% | +0.16% | +0.18% |
| % Change week | +0.03% | +0.10% | +0.13% | +0.15% | +0.18% |
| % Change month | +0.03% | +0.10% | +0.13% | +0.15% | +0.18% |
| % Change year | +1.90% | +3.01% | +3.47% | +3.76% | +4.04% |
Let’s take a look a the C Fund. As you can see, the C Fund has clearly broken out of its established trading channel. This is bullish. This is short term bullish. The chart is giving a solid buy signal showing positive crossovers in all four indicators. I hate to say it, but equities are clean and green for the short term.
F Fund
The F Fund bounced today as we predicted. That is good but it is also a fact that it has been better to be in equities the past week. I have annotated the chart to show you the bounce after reaching the bottom of the ascending trading channel.
As you can see, it looks like we will have a badly needed run in the F Fund. The problem is, as I mentioned earlier, with both stocks and bonds working at the same time, which horse do you ride? It is probably best to be in Stocks for the short term if not for a little longer. Nevertheless, if you are in bonds as I am, you might as well make a little cash off this bounce while you contemplate the move. As I have said many times, I don’t trust this market, but it is never wise to fight the trend and the current trend is up. My plan is to take a good look at it this weekend. However, with bonds starting to pop again, there’s no hurry. It all really depends on your risk tolerance and that should depend on how close you are to retirement or if in fact you have already retired. My allocation is a suggestion on where I feel it is best to invest your funds. Naturally since I have people in the near retirement range, I am a little conservative. This has obviously not given the best performance this year. If you are one of those who has a higher appetite for risk and are trying to attain the highest possible gains you can always run off the signals that I include in each newsletter. I read the charts each night when I post them and have several people that make great returns by doing their own thing based off these signals. That’s the reason I post them. Not that my allocation has been bad, we have averaged among the best returns, but I’ll admit that this (so far) is not one of my better years, but then again, the year is not over yet. With God’s help, we’ll make some money just like we usually do. That’s all for tonight! Have a great evening and may God bless you and yours.
Scott
