We have had two down-market weeks, and other stock market analysts are calling for next week to be another down week. Jeff Hirsch at the Almanac Trader and Rob Hanna at Quantifiable Edges present historical data showing that the average market returns will be weak following the third week of September. We'll see.
Let's look at last night's chart; the models' predictions are up from the previous week's numbers. The overall average is 5.32; the previous week's average was 5.13. The Real Estate sector has the best overall forecast for the next 30 trading days, with an average score of 6.23. And the Real Estate sector has a good short-term prediction, which should occur in 26 to 29 days. The computed average is 7.51. The estimated top ETF in that category for that period is $IYR.
On the sell side, the Energy sector has the worst overall view for the next 30 trading days, with an average score of 4.04. Also, the Energy sector has a poor prospect in the 27 to 30 day period; the computed average is 3.04. In this sector, $ERX may have the worst results.