Market flat but not out
A weekly analysis of how the market reacted in the past week
Value Line Index - 1,700 stocks, so its broader than just the Dow 30 or S&P 500
- The index was actually flat and unchanged for the week
- BarChart technical indicators - 32% sell with only 3 buys, 3 holds and 7 sells
- Index trending below its 20 and 50 day moving average but still above its 100 DMA
BarChart Market Momentum - 6000 stocks - percentage of stocks trading above its Daily Moving Average - overall very weak
- 20 DMA -- only 47.44% above
- 50 DMA -- only 44.40% above
- 100DMA -- 64.49% above
Ratio of stocks hitting new highs to new lows for various periods -- 1.0+ bullish, 1.0 neutral, under .99 bearish -- bearish this week
- 20 day new high/new low ratio -- 242/876 = .28
- 65 day new high/new low ratio -- 113/427 = .26
- 100 day new high/new low ratio -- 106/223 = .48
Summary - Market didn't perform in a positive manner and the 3 previous weeks poor performance caught up with the numbers -- Middle East credit crisis could cause concern. Please act defensively.
Wall Street Survivor results - Those who post stock recommendations to Top Stocks have a little friendly competition going on Wall Street Survivor, and month to date Anthony Mirhaydari is the leader with a 30.37% return. That's way ahead of my month to date return of 7.35% but I still managed to beat the market's 5.34% return. I sold Sierra Wireless (SWIR) because it failed to maintain price momentum above its 50 day moving average. I won't add a position today until I see how the market digests this Middle East credit crisis.
Disclosure: I do not hold any positions in the stocks I recommend on Top Stocks
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
Serious issues like drought and the deterioration of the developed world spell opportunity for this industry leader.
VIDEO ON MSN MONEY
Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.
Contributors include professional investors and journalists affiliated with MSN Money.
Follow us on Twitter @topstocksmsn.