Author: Gary Harloff
Covestor model: Opportunistic ETF
Our new U.S. bond signal for bond signal tracking employs Rydex fund RYGBX and is neutral as of the beginning of March. This signal is opposite our previous signal that employed bond yield. We continue with our December buy signals for the S&P500, NDX-100, and gold.
The markets are weaker now than in late January even though the volatility has decreased. We have some indications from our other original quantitative analysis (not chart reading or technical analysis) that the market is topping out. Japan, as reflected in UJPIX, is showing our highest absolute momentum. The large and small cap growth and value styles all have positive absolute momentum at roughly the same values.
Oil leads our sector ranking due to uncertainty of oil supply from the Middle East plus oil speculator interest.
The German Dax is our highest absolute momentum bourse, followed by emerging markets, U.S., and England.
The U.S. dollar continues to weaken due to Federal Reserve pressures to reinflate our economy.
Because the markets can turn quickly, be ready. May the market be with you!
