As of Tuesday, October 4, 2016 at the close of trading EquitySurge™ has continued a strong buy signal for USA equities.
The stock market had another down day on Tuesday, but the real news of the day was a large selloff in gold and in the price of long-term US Treasury bonds. With continued signs of a strong underlying US economy, the stage is being set for the Federal Reserve to raise interest rates before year’s end.
While this may cause more volatility in the stock market, as long as liquidity measures (the flow of money into the stock market) remain at the current very high levels, any dips, selloffs and corrections will be buying opportunities.
The next 30 days or so are likely to remain range-bound in the stock market, but we plan to use price weakness as an opportunity to buy or add to existing long equity positions.
If you would like to review the EquitySurge™ trading signals generated so far in 2016 please see the Trading Signal Performance Chart page.