It might be hard to believe, but the first month of 2017 is almost in the books. So far it appears that we will have a gain for January 2017, unlike the 5 to 8% loss we had here in 2016. I will also most likely make a change a day or two early with my monthly move since it appears to me that a move is going to be required no matter what happens the last 2 trading days of January. I will show that below in the charts.
It is calming for once to not have much to say about the S&P 500. Last week we hit new all time highs and then an expected fade afterwards. Volatility is low and the DMI is showing positive. All is good here at the moment and we just watch and ride.
The Small Cap also hit new all time highs and everything here is good. We just watch and ride.
The International finally reached and broke through that long term overhead resistance. It would have been much nicer to see price continue up through resistance for a few days and the come down to test that level. But that didn’t happen as I had hoped. Price only managed to stay above that level one day. As long as price does not continue lower through the CBL line, which is the last pivot low, and then continues back up through resistance, all will be good.
The next thing to mention here is that the International monthly moving average is currently at $58.05 and price is currently at $59.97. That makes the I-fund a buy going into February. So unless we get a 3% drop in price Monday and Tuesday of next week, it’s a buy monthly. So Tuesday, January 31th at 11:30am if the International is still showing a monthly buy, I will make the move to 34%-S, 33%-C, and 33%-I. The advantage of doing this is that it will leave you 2 moves inside the TSP for the month of February if you needed it.
Bonds made a very small attempt at making a daily buy the last couple of weeks, but has done nothing but meander sideways and slightly lower. Next week price meets the downtrend line and the 50 day ma and CBL are starting to merge. So something is likely to happen soon.
Conclusion: We ride. There is nothing to do yet except consider an early move into the International index.
No comments:
Post a Comment