Market Outlook entering the Week of November 8th = Medium-term uptrend
- Short-term (20 DMA): Uptrend
All the major stock market averages remained above their 20-day moving averages.
- Intermediate (50 DMA): Uptrend
All the major stock market averages remained above their 50-day moving averages.
- Long-term (200 DMA): Mixed
3 of the 5 major stock market averages remained above their 200-day moving averages.
No major changes over the past week, so the outlook also remains unchanged. I did notice that some of my dividend/income holdings got hammered last week. I assume the selling was news-related, stemming from all the talk of a December interest rate hike by the US Federal Reserve. Whatever the reasons, or your strategy for that matter, keep in mind the following estimates from Tony over at OEW:
The [next] bear market should last about two years and the market should lose between 45% and 50% of its value… After six years of rising prices it is time to prepare for a couple years of declining prices.
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