As of Thursday, July 21, 2016 at the close of trading EquitySurge™ has continued a hold signal for USA equities. This signal means to hold existing long stock market positions, but do not buy additional positions.
The stock market showed some weakness today following the breakout higher to new all-time-highs in price over the past couple weeks.
This anticipated decline will most likely turn into a buying opportunity as long as the liquidity indicators remain in their highly supportive position for stocks, which they currently are. Therefore we will be holding existing long equity positions and look to add to longs initially around the 2130-2120 level on the S&P500 Index.
We will monitor the decline carefully and provide updates on the liquidity situation in the market, which will ultimately tell us the magnitude of this downturn.
If you would like to review the EquitySurge™ trading signals generated so far in 2016 please see the Trading Signal Performance Chart page.