My strategy to go all S-fund is still a work in process.

I have been watching closely a lot of little things in the background and trying to apply most of my rules and right at this time in space, I do not see the entry yet. It might be screaming to enter, but I do not see it. When stocks start getting pounded like they did last week, you are suppose to see a flight to safety. Let me show you a couple of things that make you say hmm?

Gold, does that look like people are running to safety?

Silver and this doesn’t look good either.

Even Bonds do not look as if people are running to safety.

Consumer Staples that people buy no matter what the economy is doing, toilet paper and food.

So based on the information above you would think that the markets would be climbing back up as buyers start buying risk assets, but it is not happening yet. It almost appears that all parts of the markets are just bleeding. So that leaves me with the dilemma on how to take a jump into all S-fund. I would at a minimum of an established pivot low that has been confirmed.

 

So after Monday, the closing price on the Small Cap was $1012 which was higher than the highest price last Friday of $1010. That forms the pivot low. So Tuesday what you would like to see is price hold $1012 or above by 11:30am in order to confirm the pivot. So let’s look at the minute chart of Tuesday.

Ok, you could argue by 11:30 that the Small Cap held 1012, but when I left my home at 11:00am, price was mostly below and falling once again, so I didn’t think it was going to hold. Priced poked through $1012 for 2 minutes and fell back below. Then later while I was driving, price once again poked through for 4 to 5 minutes and the never returned. So to me, this did not confirm the pivot low. So I once again stood down. Price is going to have to climb and hold $1012 before I make the all in move. I will also have to look at the entire market at that time because who knows when or if price will ever climb at or above $1012 in the near future.

So as it stands with the daily charts, Small Cap and International was and are a sell. C and F and still a hold.

Monthly, all funds are still a buy and hold until the end of August.

The I-fund is looking extremely ugly in the very near future and I’m not sure how much longer I can hold on here.