Thursday, June 2, 2016

As of Thursday, June 2, 2016 at the close of trading EquitySurge™ has generated a hold signal for USA equities. This signal means to hold existing long stock market positions, but do not buy additional positions.

The market is trying to break out above the 2100 level on the S&P500 Index. This process could take more time consisting of surges over 2100 and then retraces back below.

Considering that the USA Federal Reserve meets next week and may actually raise rates at that meeting, the market may be in a holding pattern around 2100 for another week or so.

Unless liquidity indicators which show money flow into the market turn down from their current highly supportive levels, the stock market is still a buy on retraces below 2100, but if you already have established long positions the best strategy may be to hold for now.

If you would like to review the EquitySurge™ trading signals generated so far in 2016 please see the Trading Signal Performance Chart page.

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