NASDAQ Closes at 8244.14 +1.01 % for week
Market Performance
The three major market averages powered to their all time highs on Friday with the DJIA leading the way up 1.52% and closing at 27332.03 closing above 27000 for the first time. The NASDAQ Composite had a solid week as well up 1.01%, and the S&P 500 Index closed up 0.78% but at 3013.77, the first close above 3000.
Having all three averages making new highs simultaneously is unusual, but shows the strength of this market advance, especially during the normally weak May through October period.
For the: YTD
NASDAQ 24.25%
DJIA 17.17%
S&P 500 20.22%
BDH Strategy 5.50%
Other Market Segments
GLD was up 1.05%, continuing its gains for the past three weeks. Likewise, GDX had another positive week up 3.23% after a monster gain of over 20%% during the prior three weeks. Finally, oil prices had another blockbuster week with USO gaining 4.77%, and $Brent up 3.77% for the week.
Not unexpectedly, on the fixed income side, TLT (iShares 20+ Year Treasury Bond ETF) fell 1.67% giving back gains for the two weeks prior. Similarly, IEF (iShares 7-10 Year Treasury Bond ETF) fell 0.49% for the week.
Market Internals Improve
The percentage of the NYSE stocks are above their 200-dma advanced to 66.66% compared to 61.03% three weeks prior. More importantly, the percentage of NYSE stocks above their 50-dmas also advanced again to 74.16% from 59.43% three weeks prior.
Nevertheless, there are still many stocks not participating in this rally resulting from sector rotation. For example, over the past six months, XHB, XLY, XLP, XLF, and XLI have each gained over 15%, while the other sectors have not done as well with, XLE gaining only 5.06%, and XLV adding 6.47%.
The number of new 52-week NYSE new highs increased slightly to 449 from 440 the prior week indicating that hundreds of stocks are not fully participating in this broad market move higher. The number of new highs is still a far cry from the 800 to 1000 new highs that are normally expected at markets making all-time highs.
Dashboard Indicator Review – No Changes
Indicator #2 NASDAQ Composite Index and 100-dma. This indicator finally broke above its 100-dma on June 7 after closing below it on May 29, 2019. It is now on a new BUY signal.
Indicator #5 NASDAQ Composite with MACD. This indicator issued a slow MACD BUYsignal (upper one) on June 7, 2019 while the faster MACD (lower one) had a BUY signal a day earlier. Please refer to upper chart to review these signals.
Indicator #6 AAII Weekly Investor Sentiment Survey Bullish Percentage. The latest July 10, 2019 Bullish Percentage reading was 33.6% up 0.5 from the previous week. This indicator remains on its BUY signal of November 29, 2018, and has recently issued another buy signal confirmation in the past month when it fell below 25%, and then rose above it.
Indicator #8 NASI Summation Index and MACD. This indicator finally had a BUY signal on June 14 thereby cancelling its April 23 SELL signal, See chart below.
The current Dashboard from 6/21 has not changed.
Dark Liquidity
The link is as follows:
www.dark-liquidity.com/index.php/strategies
You can go to www.dark-liquidity.com first and then hit strategies. Our strategy is 13th best out of 23.
BDH Decision Page – BDH Dashboard ETFs
Copy and paste the DecisionPage link into your browser:
https://www.etfscreen.com/buydonthold/bdh-decision-page.php
On ETFscreen.com, the Decision Page indicated that 38 ETFs out of 44 have “pass” ratings compared to 38 the prior week. The 6 “fails” are TLT, XBI, FXE and the inverse ETFs DOG, SH and PSQ.
You can easily check the top performers for the past 5-days and one month by going to the “Additional Fund Stats” tab on the right side of the BDH Decision Page, and arraying the Rtn-5d and Rtn-3mo column, respectively heading from high to low.
Chart of All BDH Signals
Here is a chart showing all Dashboard buy and sell signals, paste it in your browser. It may take a day or two to update as that is done by a subscriber.
http://stockcharts.com/h-sc/ui?s=$COMPQ&p=D&yr=2&mn=0&dy=0&id=p50034199149&a=250074893
Top 5 ETFs – 100% Invested
As you will note on the Top 5 ETF Tracking table
provided in the attachment (only provided to subscribers), the current ETF
performance is provided since their purchase on the June 11 open.
Game Plan Going Forward
With the market at all time highs everything looks rosy. That does not mean that the market will continue higher unabated. So, what do we do here? We watch the portfolio, make any suggested changes, and wait. Make sure stops are in place to protect principal.
Interim updates are sent to subscribers during the week, as needed. Any subscriber who has recently sent in a payment and has not received this regular blog today should email me at lesmasonson@yahoo.com so I can check my records and correct any oversight.
Remember that you are responsible for your investments and how you manage them. This website was developed for educational purposes only and is not responsible for any actions you take with your investments. If you decide to follow the BDH strategy, then you are 100% responsible for your investment outcome. Make sure to check the BDH indicators daily during times when the market is volatile like now. Just bookmark the charts above and look for any signal changes. I may not available during the week to provide interim Dashboard signal changes. It is important to be pro-active, so as not to miss any Dashboard signals. Decide on and place your stop LIMITS that meet your own risk profile.
