RLC Market Comments – The Big Picture June 6, 2010
The graph below is a weekly basis graph of the S&P 500 showing the BIG PICTURE covering the period from 2005 to date.
Shown along with the S&P 500 are three of our long term bull market/bear market indicators we use in our professional money management.
This past week the S&P declined down toward the support level S1 and the up trend line UT1. From a big picture point of view the market remains in an uptrend, validated by the fact that the S&P 500 is above support shown in the yellow shaded box in the graph.
The three big picture indicators are all in bullish configurations as well:
The S&P is above its 86 week moving average which is moving up.
The MACD trend indicator is above its Zero Line and
The 39 Week Rate of Change indicator is above its Zero Line.
This means all three of these long term indicators are suggesting the bull market is intact and as long as that is the case, then declines like the one we have recently experienced should be considered buying opportunities.
Given that we are in the doldrums of the summer, we should probably not expect to see new rally highs above the April high or new lows below the May low in the next 2 months.
This is an excerpt from RLC’s Market Comments email. If you would like to receive this free, analysis of the investment markets each week, click here to sign up.
Stock Market Comments
in Market Comments,Markets
The graph below is a weekly basis graph of the S&P 500 showing the BIG PICTURE covering the period from 2005 to date.
Shown along with the S&P 500 are three of our long term bull market/bear market indicators we use in our professional money management.
This past week the S&P declined down toward the support level S1 and the up trend line UT1. From a big picture point of view the market remains in an uptrend, validated by the fact that the S&P 500 is above support shown in the yellow shaded box in the graph.
The three big picture indicators are all in bullish configurations as well:
The S&P is above its 86 week moving average which is moving up.
The MACD trend indicator is above its Zero Line and
The 39 Week Rate of Change indicator is above its Zero Line.
This means all three of these long term indicators are suggesting the bull market is intact and as long as that is the case, then declines like the one we have recently experienced should be considered buying opportunities.
Given that we are in the doldrums of the summer, we should probably not expect to see new rally highs above the April high or new lows below the May low in the next 2 months.
This is an excerpt from RLC’s Market Comments email. If you would like to receive this free, analysis of the investment markets each week, click here to sign up.