The model score today stayed at -4 despite the large intra-day range – in fact one of the largest intra-day ranges since the December bottom. We are very near to an important turning point. Either we turn back from here or 2861 or we are going to embark on a long leg higher, through ATHs and into mid 3,000s. The longer the market maintains its upward bias the more likely is that the real surprise will be the upside. But one thing at the time. Let us first see a series of positive scores, which has not been the case since early October 2018, although the MA difference has now narrowed considerably into the -30s and without meaningful sell offs continues to improve on a daily basis. The monthly and weekly models (monthly scored Friday, weekly tomorrow) are improving too.
Owners of FMC, T & JWN should check to see if this security is still needed in their portfolio, as the picture is rapidly deteriorating in those names.
We are still in full Risk Off, invested in TLT.
We are very near to a big impulsion moment, either up or down. Maximum protection of portfolio time via options.