Daily Single Shot - Tues, Jan. 25.

The Call
Negative Positive
ERX EDC
MIDU FAZ
SVXY JDST
URTY TECS
Based on the ETF Expectations methods at McVerryReport.com
Previous Call
Zero hits after that amazing turn-around in late afternoon trading.
Negative Positive
BOIL 3.48%   FXI -1.59%  
KBE 1.05%   SLV -1.21%  
MIDU 5.41%   SRTY -7.41%  
OEF 0.27%   TZA -7.29%  
For educational purposes only. This is not a suggestion to buy or sell any financial instrument.

The Tech Sector Is The Top Pick for the Next 6 Trading Weeks

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Let's look at last night's chart; the models' predictions are barely unchanged from the previous week's numbers. The six-week average is 4.80; the previous week's average was 4.86.
The Technology sector has the best overall forecast for the next 30 trading days, with an average of 5.41. The Real Estate sector has the best short-term prospect, which should occur in 25 to 30 days. The average is 6.02. The estimated best ETF in that sector for that period is $URE. Next is followed by the Technology sector with a better than average forecast in 14 to 17 days. The computed average is 5.73. The estimated best ETF in this sector for the period is $SMH.

On the sell-side and for the fourth week in a row, the Metals & Miners sector has the worst overall view for the next 30 trading days, with an average score of 3.94. Also, the Metals & Miners sector has an underperforming prospect in the 19 to 25 day period; the computed average is 3.35. In this sector, $GLD may have the worst results.

The Models Are Calling For More Bearishness Across All Sectors For The Next 2 Weeks.

For the entire month of September, the markets continued their downward move, and Friday did show some positive movement.

Let's look at last night's chart; the models' predictions are down from the previous week's numbers. The six-week average is 4.67, approaching the bearish zone; the previous week's average was 5.06. What caught my eye was the first five-day average, which is 3.71, a bearish number. enter image description here

The Real Estate sector continues to have the best overall forecast for the next 30 trading days, with an average score of 5.50. And the Real Estate sector has a good short-term prospect, which should occur in 22 to 30 days. The computed average is 6.41. The estimated best ETF in that sector for that period is $DRN.

In contrast, the Metals & Miners sector has the worst overall view for the next 30 trading days, with an average score of 3.85. The Consumer sector has an underperforming prospect in the 1 to 5 day period; the computed average is 2.74. In this sector, $XRT may have the worst results. Coming in second with a weak prospect is the U.S. Stock Mkt sector for the same period. The computed average is 2.77. The models expect the ETF $URTY to finish the worst in this group.

Real Estate on Top and Financial Falls

Looking at last night's chart, we can see that the models have started to turn paler from last week's more bullish green. Please note that the chart still has more green cells than red cells but the green cells are not as strong.enter image description here

The Real Estate sector has the best outlook, which should occur in 26 to 29 days. The estimated best ETF in that sector for that period is $URE.

In contrast, the Financial sector has an underperforming outlook in the 22 to 25 day period. Over the past several weeks, the Financial sector was the leading bullish sector, so this is an interesting turn. In this sector, $KRE may have the lowest results. Coming in second with a weak outlook is the Metals & Miners sector in 12 to 15 days, with the ETF $SGOL expected to finish the lowest in this group.

FCG - That Call Didn't Work

Along with the rest of the market, $FCG was down. $FCG itself was down 1.5%.

Referring back to this morning's post - even with all 6 models calling for an up day - they were wrong.

I did say that the 1-day calls are usually wrong. I did expect it to go up.

Across Most Sectors The Next Several Days Are Looking Weak

The Biotech sector has the best prospect in the 25 to 28 day period. The estimated top ETF in that category for the mentioned period is $XBI. Next is followed by the Financial sector with a good forecast for the same period. The estimated best ETF in this sector for that period is $KBE. enter image description here On the sell side, the Real Estate sector has the most underperforming outlook in the 19 to 22 day period; in this sector, $VNQ may have the worst results.