This will be a shortened review as is the case every other week. There were no interim updates sent to subscribers this past week. No interim updates to subscribers are planned for the upcoming week unless the market has a more than a 2% decline.
The stock market closed the week with positive returns. The NASDAQ Composite weekly performance trailed the other two major averages with a gain of 1.21%. The DJIA jumped 2.77% and the S&P 500 advanced 1.62%. The major news of the week was that the NASDAQ Composite broke through its March 13 high (red line on chart) on Wednesday, as seen in the accompanying chart. The S&P 500 and DJIA are both not yet close to new highs.
Gold was up 0.42% while gold miners was up 0.22%. Oil was down about 0.43%, and fixed income was down about 0.40%. The number of new NYSE 52-week highs increased nicely to 365 from 244 the prior few week. The percentage of NYSE stocks above their 50-dmas was 69.5% up from 64.8% the prior week. The percentage of stocks above their longer-term 200-dma is currently at 60.7% up from 57.4% the prior week.
There were no changes in the indicators. The Dashboard is still on its “3” BUY signal.
Here is a chart showing all Dashboard buy and sell signals (it may take a day or two for the new signal to be posted):
Top 5 ETFs – 40% Invested,60% Cash
The following positions weree held as of the close on June 8: XLY and DBC. YTD the BDH strategy is up 3.21% compared to 5.70% of the three major averages.
Conclusion — Market Still Working Its Way Higher, Buy NASDAQ Advance Slows Down
The NASDAQ Composite has broken out new highs. At this point we are still 40% invested with 3% trailing closing price stops in place. Without the technology leaders this market would be much lower. Although we did get a decisive BDH Dashboard “3” BUY signal on May 10, butwe were being prudent and have not acted on that signal. Since then the market has moved higher and our performance has lagged the averages, after being a 13-day trading range (orange lines). We are awaiting a a pullback to enter the market at more favorable prices.
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As of March 23, 2018, this site has been offering a yearly subscription for $20 for interim updates and additional analysis, as needed. This blog is still free, but some information and analysis will be provided only to subscribers. If you’ve sent me a payment, but have not received the earlier emails, then please email me at email@example.com. Please click on the following link for subscription details:
Interim mid-week emails to subscribers will not be sent out each week unless there is a BDH signal change, an indicator signal change, an ETF sale or an unusual situation such as more than a 2% decline.
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.