Cautiously Bullish

October 21, 2014
Oversold RSI and hollow red bottoming candles depict a possible EXCELLENT buying opportunity here.

Oversold RSI and hollow red bottoming candles depict a possible EXCELLENT buying opportunity here.

This chart shows what looks like an excellent short term buying opportunity! Look at the oversold RSI and what happened in the past.

This chart shows what looks like an excellent short term buying opportunity! Look at the oversold RSI and what happened in the past.

This LONG TERM chart is why we are CAUTIOUSLY bullish. It's VERY overbought and WAY above its 'green line'.  That's why our portfolio has enough dividend yield and cash in it to ride out any potential perfect storm.

This LONG TERM chart is why we are CAUTIOUSLY bullish. It’s VERY overbought and WAY above its ‘green line’. That’s why our portfolio is an INCOME FACTORY with enough yield and cash in it for us to ride out a crash with plenty of money to “pay the bills”.


Short term bottom may be in.

September 30, 2014
If this is a true hollow red bottoming candle then a short term bottom is in.

If this is a true hollow red bottoming candle then a short term bottom is in.

Very oversold and ripe for a bounce. Oversold RSI here are almost always great buying opportunities.

Very oversold and ripe for a bounce. Oversold RSI here are almost always great buying opportunities.

We went long a 5% position in EPI to put our money where our mouth is. High SCTR rank means it should blast off if this is indeed a bottom.

We went long a 5% position in EPI to put our money where our mouth is. High SCTR rank means it should blast off if this is indeed a bottom.


More upside but at a slower pace.

September 6, 2014

Looks like a BULL FLAG to me...

Looks like a BULL FLAG to me…

Daily price action is moving right along its long term mean trend line - neither overbought or oversold.

Daily price action is moving right along its long term mean trend line – neither overbought or oversold.

Weekly STOCHASTIC still heading higher. Watch for it to bow over and cross below 80 to lighten up portfolio to 20% cash.

Weekly STOCHASTIC still heading higher. Watch for it to bow over and cross below 80 to lighten up portfolio to 30% cash.

Still not overbought. Heading higher. Lighten up portfolio to 20% cash when RSI is well above 70 AND the NYSI readings turn negative.

Still not overbought. Heading higher. Lighten up portfolio to 20% cash when RSI is well above 70 AND the NYSI readings turn negative.


More upside but at a slower pace?

August 25, 2014

SPX tracking right ON mean regression line now means FAIRLY valued. Future gains should continue to track along regression line (reduced pace from past weeks) unless news dictates otherwise.

SPX tracking right ON mean regression line now means FAIRLY valued. Future gains should continue to track along regression line (reduced pace from past weeks) unless news dictates otherwise.

RSI is still not overbought = more upside is still available.

RSI is still not overbought = more upside is still available. Think about lightening up a little when RSI hits 70 or more.


Where do we go from here?

August 18, 2014
We watch for the RSI to become overbought, and then lighten up a little when it does. Right now it is bouncing off oversold. Plenty of room for more upside right now.

We watch for the RSI to become overbought, and then lighten up a little when it does. Right now it is bouncing off oversold. Plenty of room for more upside right now.


Bottom is in and SPX breaks out above 50 EMA (new support)

August 16, 2014

Bullish MACD cross and price break out above 50 EMA confirms bottom and provides new support. RSI is nowhere near overbought yet. Plenty of upside available from here.

Bullish MACD cross and price break out above 50 EMA confirms bottom and provides new support. RSI is nowhere near overbought yet. Plenty of upside available from here.

NYSI turns bullish, next leg up is underway. RSI is oversold and turning UP now.

NYSI turns bullish, next leg up is underway. RSI is oversold and turning UP now.


Timing Indicator $NYSI – Looks like a short term BOTTOM here.

August 11, 2014

Check out this chart. Every time the RSI gets oversold like this, its a short term market bottom. We don’t think this will be an exception.

Short term bottom looks imminent.

Short term bottom looks imminent.

We expect the SPX to back test the broken 50 EMA at 1944.

We expect the SPX to back test the broken 50 EMA at 1944. Negative divergences have been worked off and there seems to be good support at 1902. The last two times SPX broke its 50 EMA, it rallied right back through to new highs.

 

 


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