Investors Business Daily Market Wrap video on 04/04/14 – http://ibdtv.investors.com/market-wrap/696089-ibd-market-wrap-040414.aspxm – said “Though some of you might find this whipsaw market extremely trying, remember one of your greatest safeguards is to follow the trend. And sure it can go back up quickly, but it can just as easily trend south and take your profits along with it.” This was after they changed “Market in Correction” to “Uptrend Resumes” on 01Apr to “Market in Correction” on 04Apr. Take the opportunity to listen to www.garyk.com archived radio on 04/04/14. At 21 minutes into the show he lists the conditions we now have which match conditions prior to previous crashes.
Last weekend and on Monday the Federal Reserve Board (FRB) used talking points to indicate they would be printing more money to keep the market going up, and the market went up. Then on Thursday the market turned around and started down. We may be at the stage where printing more money can’t keep the market up. Since the FRB has been printing money to keep the market up for many years, when printing money quits working the downtrend will be severe. The FRB has managed to stop two potential crashes over the last 5 years by doubling the printing of money each time.
2014 had a good February but things deteriated in March. For the quarter, my #1 IRA is down 1% , my #2 IRA is down 2%, my PDP/PIE/PIZ/DWAS is down 2%, my IBD ETF strategy is down 7%, and my IBD ETF strategy with short is down 14%. It was a quarter with a lot of up and down market directions. Few trending strategies work well when there is no solid trend.
IBD TBP’s Current Outlook is “Market in Correction” – not time to invest.
My current investments:
Nordic has a price of 46.43, a sell price 44.11, a relative rank of 02, and is a hold.
SSoftware&ComputerServices has a price of 116.34, a sell price 118.43, and is a sell.
SAirTransportation has a price of 61.87, a sell price 59.32, a relative rank of 05, and is a hold.
My portfolio changes this weekend:
IRA #1 – None
IRA #2 – Sell SSoftware&ComputerServices
My portfolio market exposure after this weekend’s changes
IRA #1 – 00% invested
IRA #2 – 40% invested