TrendFlex Credit Risk Premium Signals (CR)
TrendFlex Classic CR and Allegiance CR both remain on Buy signals.
Performance is through market close on 8/12/16.
S&P 500 Return
|S&P 500 timing signals based on credit risk (CR) premiums (corporate vs.Treasury debt).|
|TrendFlex Classic CR||Uptrend||6/29/16||+0.7%||+0.7%|
|TrendFlex Allegiance CR||Uptrend||4/13/16||+8.2%||+8.2%|
The TrendFlex Score increased from 1.47 to 1.50 and remains above its three-week moving average, underscoring the risk in equities near their new highs. As can be seen from the chart below, TrendFlex Score readings at this low level have preceded setback in equity markets in the past.
TrendFlex Trend-Following Signals (TF)
TrendFlex Classic and Allegiance trend-following systems remain on Buy signals. TrendFlex Classic and Allegiance both have reached its most bullish score to-date (can't get any lower - or more bullish - than a 1.0). Market breadth remains strongly positive. Sentiment remains at a bullish extreme and warrants some protection of capital at these levels.
Performance is through market close on 8/5/16.
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||7/8/16||+3.7%||+3.7&||1.000|
|TrendFlex Allegiance TF||Uptrend||5/31/16||+4.0%||+4.0%||1.000|
The Portfolio Strategies chart remains a bit defensive, refraining from adding long positions at this time.
|Set Stops on Longs|
|Short Overbought Equities|
|Add to Longs|
|Hedge or Reduce Shorts|
|Long Futures and Options|
*Red highlighted items are recommended strategies