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Markets Overall

Outlook: Rough and Tumble Through The Middle of September

Let’s look at last night’s sector strength chart; the overall average has declined to 3.87 from the previous week’s 4.12. With the bear/bull line at 4.5, the overall score for the next six weeks fell further into the bearish zone.

This week’s sector with the worst score is the Financial sector, scoring 2.58. Which is followed by the Real Estate sector. Real Estate’s 30-day score is 3.16

The Biotechnology sector moved from the second best to first by getting a score of 4.83. Which is just bearly into the bullish zone. The Energy sector, which was the best last week, fell to fourth; it scored 4.27, which is bearish but does show some strength from August 17 until the end of the month. The Bond sector moved to second place and is in the bullish zone with a score of 4.54.

Precious Metals and Miners score 4.43; Tuesday could be interesting for this sector. Health Care has the fifth highest score at 3.94, followed by Non-US Stock Markets at 3.92. Technology is next with a score of 3.89, US Stocks at 3.81, Commodities score 3.76, Emerging Markets record a 3.60, and the Consumer sector’s 30-day average score is 3.58

So, like the past four weeks, the models generally expect a downside to the markets through August until September 19. The one exception is Biotechnology.

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Markets Overall

The Models Expect One More Bullish Week For The Stock Market.

Let’s look at last night’s sector strength chart; the overall average has improved to 4.12 from the previous week’s 3.98 If you watched last week’s video, you know the models called for the markets to be up this past week, and this coming week. Well, so far, so good.

The Emerging Markets sector has the worst overall average, scoring 3.58. The Precious Metals & Miners sector has an underperforming prospect. The computed strength is 3.76. The models are looking for positive pop next week, followed by a continuous downtrend through August and the first week of September.

The Energy sector has the best overall score of 5.14 and a good short-term prospect, which should occur in 8 to 11 days scoring 6.29. The Biotechnology chart is still the only chart showing an uptrend. The problem with the trend is that it remains in the bearish zone for most of the 30 days. It does get bullish the first week of September.

So, like the past three weeks, the models expect a downside to the markets through August.

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Markets Overall

Stock Market Call: Two Weeks Up, Four Weeks Down.

Let’s look at last night’s sector strength chart; the overall average has improved from last week’s 3.10 to last night’s 3.98. The models are still calling the market to remain bearish up to September 2. As you will see, some of the sectors have some bullishness to them for the next two weeks, but all sectors have bearish numbers through the end of August.

Let us start with the strongest sectors first. Energy and Bonds both have an average score of 4.53, Energy sector has strong numbers through the first week of August. Unlike Energy, the Bonds numbers are not as strong, but both sectors fall off through the end of August. Biotechnology scores a 4.48. Biotech is one of a few sectors with strength numbers that return to the bullish territory at the end of the 90 days. The Consumer sector comes in at 4.14.

As you will see, the remaining charts have a similar pattern to the Energy chart, strong through the first couple of weeks of August, then falling off. Next is the U.S. Stock Market at 4.13. And, Technology with a score of 4.12 with a considerable dropoff at the end of August. The Financial sector scores a 3.82. With Health Care following at 3.80. Non-U.S. Stocks, scoring 3.78, barely makes it into the bullish zone next week. Both Emerging Markets and Real Estate score 3.76. Coming in at twelfth is the Commodities sector with a score of 3.70. And finally, we get to the Precious Metals and Miners with an overall average of 3.23.

So, like the past two weeks, the models expect a downside to the markets through August.

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Markets Overall

All 13 Sectors Tracked By My Models Remain Bearish For The Next 30 Trading Days

Based on the corresponding ETF averages, let’s look at last night’s sector strength chart; the overall average remains in the bear market territory with a value of 3.20.

Let’s look at the individual charts for each of the thirteen sectors tracked, starting with the worst, the Commodities sector. Last night’s average for Commodities is 2.56. Except for the first two days of next week, Commodities strength remains well below the neutral score of 4.5. Next is Technology, with a score of 2.74. Tech had been getting the poorest numbers for the past three weeks. The Bond sector is the third worse sector of the thirteen. Bonds score 2.76. After Bonds is the Financial sector with a score of 3.02 and is closely followed by the Precious Metals and Miners, Metals and Miners score is 3.03. Up next are U.S. Stocks, with an average score of 3.21. Real Estate comes in seventh, scoring 3.33 and is closely followed by the Consumer sector with an average of 3.35. Non-U.S. stocks are next, scoring 3.40. With Emerging Markets not too far behind at 3.51. The Energy has the highest daily score at 7.1; predicted for this coming Monday, but its average is a weak 3.65. The top two sectors are Health Care, scoring 3.74, and Biotechnology, almost at neutral with a score of 4.45. As you can see in the chart, the models have Biotech swooning from the end of July through the second week of August.

So all thirteen sectors tracked by the models remain bearish.

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Markets Overall Sectors In Particular

Wait Until August

Based on the corresponding ETF averages, let’s look at last night’s sector strength chart; the overall average remains a solid bearish value of 3.12.

A review of the individual charts has only two charts interesting to me; they are Biotechnology and Health Care. What catches my eye is that they both show moderate bullishness at the start of August. Here is Biotech with an overall average of 4.16. See the dip in the second week of July; the models predict its strength to the bullish side from there. Likewise, Health Care has a weaker average of 3.12, showing a similar pattern. As for the rest of the sectors, Energy has an average of 3.62 and shows a flat pattern. Precious Metals and Miners follow Energy with an average of 3.5. Next is Non-US stocks with a computed score of 3.27. This is followed by Commodities, averaging a value of 3.22, with a predicted up-trend line. Bonds are up next with a value of 2.95. Then Real Estate at 2.85. Technology moves up to the tenth slot with a computed value of 2.8. Slipping into eleventh is the Consumer sector with a score of 2.62. Then US Stocks at 2.56. And finally, the Financial sector finishes the group with a low score of 2.48.

So all thirteen sectors tracked by the models remain bearish.

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Markets Overall

Will The Stock Market Madness End?

Let’s look at last night’s sector strength chart based on the corresponding ETF averages; this week’s overall average has a solid bearish value of 3.11. Do you see the light at the end of this bear market tunnel? I do. I see the oncoming market crash.

Let’s review the individual charts. The best is the Precious Metals and Miners, with an average 30-day score of 4.14. The Energy sector follows with a score of 4.02. The third sector is Commodities, scoring 3.64. Following Commodities is the Bond sector with an average of 3.5. The Non-US Stock Market follows with an average of 3.47 and Emerging Markets with 3.43. Seventh on the list is the Biotechnology sector scoring an even 3.0. Then Health Care follows with a score of 2.85. The Financial sector closely follows Health Care by scoring 2.82. Up next is Real Estate, scoring 2.71. And the last three are the Consumer sector, with 2.4, US Stocks, with 2.34, and the Technology sector, with 2.16.

So all thirteen sectors tracked by the models are bearish.

For individual ETF picks go to http://mcverryreport.com/forecast

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Markets Overall Sectors In Particular

Energy, The Last Bullish Sector, Is Showing Signs of Weakess

The above chart is red except for the line representing the Energy sector. But even Energy is starting to show bear numbers too.

For individual ETF picks for the next 30 trading days go to http://mcverryreport.com/forecast

Categories
Markets Overall

Technology and Precious Metals Look The Most Bearish.

The Technology sector has a bearish forecast for the next 30 trading days, with an average score of 3.29. Also, the Technology sector has an underperforming prospect in the 4 to 7 day period; the computed strength is 2.24. In this sector, $XLK may have the lowest results. Coming in second with a weak prospect is the Prec. Metals & Miners sector for the same period with a computed strength of 2.36. The models expect the ETF $DGP to finish the worst in this group.

The Energy sector has a good short-term prospect, which should occur in 21 to 24 days with a computed average of 6.16. The estimated top ETF in that category for that period is $BOIL.

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