Dow 30: Nine DOWN, Twenty-One To Go!
At the time of this writing, these nine companies are now Bearish and “Un-Favorable,” suggesting that the very old Bull General Market is deteriorating. It is always a slow process of topping that requires much patience and discipline. Doing your homework each day helps more than you might think.
Believe it or not, this is one of my very best ways to identify – Bullish and Bearish Inflection Points for the General Market Indices. You will find by reading my articles that this "simple guy" tells it like it is. It is basic mathematics with no gimmicks or formulas to learn. It is a matter of having the patience and discipline to monitor these BIG (Blue) guns, as they endlessly Cycle from Bullish to Bearish and back again to Bullish ad-nauseam. I simply keep the Dow 30 - Industrials "Count" in perspective and consistently profit from the ever-changing cycles.
Just for the record, it will only take a few more companies to turn Bearish, certainly not anywhere near the remaining twenty-one.
Going Back Just A Bit for Reference
Right now, the 'Down / Bearish (Un-Favorable) Count' is at Nine, still too small to change my Opinion from Bullish to Bearish for the Dow or the General Market – BUT – Getting Close.
It is important to understand that the Dow Jones Industrial Average is a (weighted) average. For example: The numeric influence of Visa is ten times that of Verizon. I believe I have the credentials to more than suggest that -- this is Manipulation Beyond ANY Acceptable Level by Wall Street – and they just keep taking advantage of a sanguine investing public.
Within any group of securities, including all the securities on the planet, my work / analytics focuses on the Favorable and the Un-Favorable. There are always a group of Favorable, the Un-Favorable and the "Also-Rans" on my management lists. The latter are of no interest to me until they rotate-completely -- Into or Out of "Favor." (Please read the notes in the table below).
Note : There are ALWAYS many more lower risk Companies within the Standard & Poor’s 1,500 Components as well as the many other Securities in my Universe, with a much Higher Probability of Profit than any of these Dow 30 Component Companies -- The Trick is to Know Which Ones!
You will note the title has notable meaning and comes from Kenny Rodgers' song The Gambler (click to listen).
| You've got to know when to hold 'em, know when to fold 'em,
Know when to walk away and know when to run. |
Table of all 30 Dow Industrials
The Table above is designed as a teaching tool but is both current and very accurate analytics. I hope you will want to study it very carefully. Suffice it to say the warm colors have notable increased since my last posting of this article.
Please understand that the Table above is current as to my views for each company. For those Companies that are "Un-Favorable" (Not Bright Green) I still may have a Hold in place waiting for a more opportune and perhaps profitable time to sell. If you would like my specific opinion, please feel free to Email me.
You will find my long-term charts in each of the above Dow 30 symbols. That too is a perspective you might want to acquaint yourself with.
The General U.S. Stock Market - Forecasted
This week (so far) the General Market is down and the year to date is definitely un-impressive. That's Ok if you are looking for a Bearish Inflection Point – and I am. It only means that I / YOU must remain patient and wait for my composite technical indicators to do their thing. My fundamental and economic indicators have been in place for months. Technically, I am very prepared and confident with my pending Bearish Formal Recommendations to my Clients.
There will be a mini or bounce rally, and how that plays out is what keeps me smiling with my work / analytics … after which I expect to see further confirmation of my Bearish Short-Term Forecast.
At this time, I am primarily holding cash. Oh yes, I am holding those companies and ETFs that remain 'Favorable' which can be seen in the above table and in my articles listed below. My overall research is focused on a Topping and very likely a new Bearish Inflection Point, or if you prefer a new / meaningful Bearish Cycle.
Smile, Have Fun, Investing Wisely,
Dr. Steve
None.
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