Market Outlook entering the Week of October 11th = Medium-term uptrend
- Short-term (20 DMA): Uptrend
All the major stock market averages remained above their 20-day moving averages.
- Intermediate (50 DMA): Buy Signal
All the major stock market averages rose above their 50-day moving averages.
- Long-term (200 DMA): Downtrend
All of the major stock market averages remained below their 200-day moving averages.
US stocks continue to rally, maintain the rally that started two weeks ago. It appears we’ve entered the P5 wave (according to OEW), meaning this uptrend will the last one of the current bull market. We don’t know is how long the rally will last, so consider a two prong approach: make money by trading shorter-term growth stocks, and take profits from your longer term positions.
Moving Average Signals:
- Uptrend=Market indexes remained above their moving average during the trading week
- Downtrend=Market indexes remained below their moving average during the trading week
- Buy signal=Market indexes rose above their moving averages during the trading week
- Sell signal=Market indexes fell below their moving averages during the trading week