Friday, June 24, 2016

As of Friday, June 24, 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.

With the people of the United Kingdom voting in a narrow majority to exit the European Union yesterday, world financial markets were thrown into complete chaos. The “Brexit” vote was unexpected and now introduces significant new variables into global economic conditions.

Right now no damage at all has been done to the very positive liquidity situation for the USA stock market, which is still extremely supportive of higher stock prices. However liquidity indicators will have to be monitored for at least the next several trading sessions to determine if there will be a negative impact.

So for the time being and in the face of what could be extremely volatile stock prices over the next couple of weeks, the best strategy may be to just hold existing long equity positions and wait to see if the liquidity situation changes, which we will report here immediately.

If the liquidity situation remains highly supportive of rising stock prices, then buying price weakness in the coming days and weeks will be advised. And if the liquidity situation deteriorates significantly, there will be plenty of opportunities to exit long stock market positions near recent market highs.

Please hold your longs and wait to see the impact.

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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