Bear Rally so far…….No confirmation from the S&P
We still do not have a confirmation to enter this market for the long term investment.
This has been a typical bear rally that has gotten everyone excited, but we still do not have a confirmation to enter this market for the long term investment. I know many of you have been taking the double greens of of the short term signals against the long term market and have been making some handsome profits. This is a place to be careful and lock some of those profits in, if you are long the markets.
The Nazdaq has been leading the charge and many of the tech stocks have been responding quite well. The BSG Trend which represents all of the 8900 stocks in our system (many which are under $2.00) has turned double green but as you see the Dow and the S&P still have not turned double green. The S&P is the long term market indicator for the Wizard and that is what we will use for confirmation of the Buy signal.
You can see that we are still not confirming by checking how many long and shorts we have in the daily and weekly scans. The weekly shorts are still in control at this time, However, the daily longs are aggressively high. You can also do a scan on the pre- buys against the pre-sells and get a feeling for the immediate market direction.
Maybe higher, but probably lower
The S&P could still climb to the 900 area, but I am suspect of that because of the Dow and the S&P holding to the Long term sell signals. As I said in an earlier blog, I still think we are going to test the lows and probably go lower. However, we trade what the market gives us not what we think.
How do I enter a stock that I missed?
I have answered this question many times recently. How do I enter a stock that I missed on the Short term Pre-Buy or Pre-sell and it is doing very well? This is very simple to do. Simply do a scan on the stock by searching the Weekly for pre-sell or pre-buys. To do this you use the search for symbol tab. You can put as many symbols in as you like if you separate the symbols with a comma. You then take the entry from the weekly signal and in a bear rally you use the stop from the daily signal. You always need to take profits fast and keep the tighter stop in place in bear market rallies.
Basics of the Wizard WEBINARS
For many of you who are using the Wizard for the first time, I would encourage you to view the pre-recorded webinars or attend the live webinars every Tuesday and Thursday. This will give you the basics of the Wizard that you can repeat as often as you like. There is no charge for the recordings or the Live Webinars.
We wish you all great trading.
Gene Stunkel
Creator of the Wizard
