The short-term TrendFlex Classic CR signal shifted to BUY mode at the market close on 11/22, as the 11/9 SELL signal was rather short-lived There was no change to the longer-term TrendFlex Allegiance signal this week, which remains on a long-term buy. Given the improved bullish reading of the TrendFlex Score (below), bias firmly continues to the upside. Click here for a primer on the TrendFlex Score and TrendFlex Signals.
S&P 500 Return
|S&P 500 timing signals based on credit risk (CR) premiums (corporate vs.Treasury debt).|
|TrendFlex Classic CR||Long||11/22/17||+0.20%||+0.20%|
|TrendFlex Allegiance CR||Long||4/13/16||+28.9%||+28.9%|
The TrendFlex Score decreased from 1.54 to 1.43 and closed below its three-week moving average, a bullish development.
TrendFlex Trend Following Signals (TF)
The TrendFlex Classic TF and Allegiance signals remain in Uptrend.
S&P 500 Return
S&P 500 timing signals based on a weighted score of US Market technical indicators. Classic (short-term) and Allegiance (intermediate to long term). Score: Bullish = 1.0-1.75; Neutral = 1.75-2.25; Bearish = 2.25-3.0
|TrendFlex Classic TF||Uptrend||9/14/17||
|TrendFlex Allegiance TF||Uptrend||5/31/16||23.9%||23.9%||1.00|
Baseline Analytics Extremes Indicators
Baseline Analytics Extremes highlights four key TrendFlex Indicators and their level of extreme readings. The key indicators include the following:
- CBOE VIX and Put/Call Ratio
- Moving Average Cross Momentum Signals
- LQD vs. S&P 500 GAP reading
When one or more of these indicators has reached an extreme reading, chart and commentary will follow. The LQD indicator had shown a sizeable gap versus its moving average, which anticipated the recent decline in the S&P 500. The gap has narrowed and no longer represents an extreme reading.
Portfolio Strategy Table
The Portfolio Strategies chart remains bullish, with an edge toward risk-aversion.
|Set Stops on Longs|
|Short Overbought Equities|
|Add to Longs|
|Hedge or Reduce Shorts|
|Long Futures and Options|
*Red highlighted items are recommended strategies