Climbing market surprises skeptics
I'm one of those that thought we should have entered a correction by now. I'm still not in any long positions because I don't want to capitulate to the bullish momentum only to have my head ripped off by a bearish downturn. I'll probably go the entire first quarter of the year with no positions. That's ok, I'm in this for the long haul and I know there will be other, more predictable opportunities. Here are some charts:
The daily scores, moving back into red territory. Frankly, there is a lot of red showing up on the internal parts that go into the overall scores you see below. Previously it has been a decent indicator of a short term decline.
Now for looks at the weekly charts. Overall, I'm seeing a pattern that showed up during the topping formations that have occurred in the last couple years. If this bullish market does the same thing, we would expect some ups and downs for a couple weeks, then a precipitous decline.
Ultimately, I'll be scaling into a short position over the next couple weeks.
TSP: Move 1/3 of portfolio into G fund if not there already. Will move remaining parts over coming weeks.
GOOD LUCK NEXT WEEK!