I think the news from FedEx on Friday morning is a significant indicator of the market’s future. One of the greatest Stock Market prognosticators of all time, Charles Dow, used the Transportation index as his leading indicator for the overall market. FedEx is one of the top components of the Transportation index.
In the overall 30-day period, the models remain entirely in the bear camp. Friday night’s numbers show the overall average fell from last week’s 3.46 to 3.39. For the third week in a row, no sector is above 4.5, which is the bullish zone.
The sector with the highest 30-day average is Energy. The models score this at 4.44, just below the neutral mark of 4.5.
The sector with the worst score is Bonds. With an average of 2.48, And the Technology sector continues to get awful scores, this week Tech has an average of 2.62.