This will be a shortened blog as is the case every other week.
The stock market had another positive week with all three major averages closing at new all-time highs. The NASDAQ Composite had the best performance up 1.41%, followed by the DJIA up 1.33% and the S&P 500 up 0.92%.
There were no BDH signal changes during the past week, although both Indicator # 5 and #8 are nearing a change (see orange circles on both charts).
There are still many stocks not participating in this rally. The number of new 52-week NYSE highs is now at 338 down from 418 the prior week, but still weak in comparison to other market highs of years ago. Also, the number of new lows was 107 down from 114 from the prior week, but is still surprising given the market’s strength. Normally, a market near its highs has 700 to 800 stocks or more participating.
Oil and energy stocks were flat, while gold was up slightly at 0.59% compared to gold miners which were up 1.43%. Fixed income was up slightlyflat. In the above chart, please type in ETF ticker symbols IEF, TLT, BOND, SHY or AGG or others one at a time to see their current bond weekly performance, or GLD, GDX and USO and $BRENT for the other averages.
Dashboard on “3” BUY signal
Top 5 ETFs – 100% Cash Position
We are still in a 100% cash position, so no ETFs are currently held. The risk is too high to enter the market right now. Prudence is called for as the market internals continue to weaken.
Conclusion — Market Advance Continues
The stock market continues to move higher. Be patient and keep the emotion out of the investment equation. If you are still invested keep your stop LIMITs in place, and ride the market until the next BDH sell signal occurs, or you are stopped out of any position beforehand.
Remember that you are responsible for your investments and how you manage them. If you decide to follow the BDH strategy, then you are responsible for checking the BDH indicators daily during times when the market is volatile. Just bookmark the two charts above and look for any signal changes. I may not available during the week to provide interim Dashboard signal changes. It is important to be pro-active, so as not to miss any Dashboard signals. Decide on and place your stop LIMITS that meet your risk profile.