Since IBD TBP’s Current Outlook went to “confirmed Uptrend” the uptrend has continued. IBD points out that the uptrend in February to March lasted four weeks and the April to July uptrend lasted 11 weeks. From a longer point of view, I have suggested to some more conservative investors that they buy SPY, the S&P 500 ETF, and hold it until the 200 day moving average declines, then switch to cash, and when the 200 day moving averages starts to increase again, buy SPY back. If you invested using this method you latest buy would have purchased SPY in Feb 2012 and you would be still invested today.
IBD TBP’s Current Outlook is “Confirmed Uptrend” – time to invest.
My current investments:
SBiotechnology has a price of 207.48 a sell price 197.11, a rank of #5, and is a Hold.
SElectronics has a price of 79.88, a sell price TBD, a rank of #1, and is a buy.
It is sort of interesting that the only fund in my list of top 20 funds I would not buy this week is SBiotechnology because the deviation from a 39 week exponentially smoothed moving average has not increased for the last two weeks.
SElectronics was a sell on 08Aug when it 0.03% below 5% off of its weekly highest close. I would have been better off not selling it. In this case the 5% sell line cause me to sell too soon, but then it also could have continued to decline. It is interesting that if you use to 50 day moving average as a sell line which I metioned that Gary Kaltbaum does in last week’s email, SElectronics would have been sold sooner.
My portfolio changes this weekend:
IRA #1 – None
IRA #2 – Buy SElectronics
My portfolio market exposure after this weekend’s changes:
IRA #1 – 100% invested
IRA #2 – 40% invested