Tuesday, May 17, 2016

Recent Stock Market Actions 5-17-2016

As written in my previous blog dated on April, 26th I was expecting a short term drop in the market to bring the SP500 down to the 2000 level.  Currently, as of May 17th, the SP500 is at 2044.  This move downward was an approximate drop of 3%.  It is possible that the market will still reach the 2000 level.  In fact, we might hit 2000 this week, which is why I am writing this blog now.  The time is now to position your portfolio for the next market move.

My expectation is that within one or two weeks the market will start to head dramatically higher.  I fully expect that the SP500 will get to 2400.  This move will add approximately 17% to the SP500 from current levels.

Make your portfolio allocations now to get ready for this dramatic move to the upside. 

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Tuesday, April 26, 2016

Recent Stock Market Actions 4/26/2016

As written in my previous blog dated January 24, 2016, I was expecting significant increases in the SP500 and Dow Jones averages.  My expectations have been met.  The SP500 currently stands at 2088 a nice rise of 278 vs my expectation of 250 points.  The Dow Jones currently sits at 17960, which is 2467 point rise vs my expectation of 3000 points.  Both substantial rises off of the low in February as my previous post documents. 

This market move has seem to run its course and I fully expect to have a slight pull back in all the major averages of approximately 5%.  This should bring the SP500 to slightly below the 2000 range or approximately a 100 point decline.  While this move will not be a major correction I would hesitate to add to any long positions at this time.  Wait till the market has dipped below the 2000 mark before adding to your long positions.

Before the market embarks on this down ward move, you would not be uncommon to see a  last move up to a new high in the markets.  This move will be short lived and will not be a sustainable rally.  Take precautions now and hedge your positions for this intermediate move down ward, your portfolio will thank you.

For further articles and to track my performance please visit my website by clicking on the link below.

Sunday, January 24, 2016

Stock Market Action

As written in the previous blog dated 12/23/15 I mentioned that we would revisit the October 2015 lows.  As you can see the recent stock market correction brought us in line with that prediction.  While the recent stock market activity has been unsettling to say the least, it was a necessary move lower to allow the market to move significantly higher in the next 3 to 6 months.  While the stock market is not yet completed with the current move down the majority of the carnage has already occurred.

The market will move higher in the short term, but this is truly a dead cat bounce and should not be viewed as a sustainable rally.  The market will go back down and retest the lows after this bounce and probably make lower lows as well.  After this retest of the market lows you can feel confident in purchasing securities for a long term rise.  This next rise will bring us above the highs established in July 2015. The market rise will add roughly 3000 points to the Dow and approximately 250 points to the SP 500 index.  This rise will inflate the portfolios of anyone who has market linked securities.  I suggest you prepare yourself for this buying opportunity.