The stock market experienced a losing week with the three major averages tumbling more than least 1.50%.This is the first week of losses in the past ten weeks which is certainly a stellar performance. All three indexes closed well below their yearly highs. For the week the S&P closed at 1775.32 down 1.65% for the week, the DJIA 1.51%. So far year-to-date, the BDH ETF portfolio is up 6.15% according to dark-liquidity.com. This compares with the NASDAQ Composite’s 34.65% performance, S&P 500 performance of 25.59%, and the DJIA performance of 20.23%.
Bond ETF prices were flat or declined slightly depending upon which ETFs you review. Please type in ETF ticker symbols IEF, TLT, BOND, AGG or others one at a time to see their current week’s performance.
Dashboard Remains on a New SELL Signal
The latest Dashboard data is presented in the link below:
Dark Liquidity BDH Performance Statistics
www.dark-liquidity.com/BDHV2new.php independently tracks the BDH performance. The Dashboard ETF portfolio year-to-date is up 6.15% but is well below that of the three major indexes where two of the averages have advanced more than quadruple that figure. The last two Dashboard BUY signals have resulted in losses as the market reversed downward soon after the buy signal was given. This was not unexpected since these signals occurred near market tops rather than at market bottoms which is the more normal situation.
Top 5 ETFs – 100% Cash
The ETF portfolio was sold on this week with two ETFs sold due to reaching their 3% stop loss on Thursday, and three ETFs sold on the open on Friday as the Dashboard issued a SELL signal on the close on Thursday.
The ETF portfolio has declined 2.02% since its purchase compared with a loss of only 1.65% for the averages. The portfolio information is provided in the following link:
Note that on the etfscreen.com/buydonthold Decision page that now only 3 out of 42 ETFshave a “pass” rating compared to 8 out of 42 ETFs the week before that. The fact that only 7% of the ETFs have a “pass” rating as the market is near or at new highs is a cautionary note.
Conclusion – Market Pauses Its Advance
The stock market stumbled the entire week. With a Fed Meeting announcement coming on Wednesday and other economic news hitting the wires, we will see how the market reacts. For now, the market is still holding its own and the odds are that it will go higher in the near term based on year-end historical seasonality before entering a corrective phase.