10/1/09

Momentum

Momentum has been waning since the mid May.

The percent of stocks above the 50-day moving average was above 90% in May. This number declined to 55% at the end of July. It rebounded and it seems to have peaked in mid September at around 70%.

It looks like the market has been losing momentum in the past 3 months. Is momentum setting up the stage for a rough October?

To find out more about my in depth view of the markets and my strategy just visit our website https://www.peterdag.com/ where you can review The Peter Dag Portfolio. You can also call me at 1-800-833-2782 to discuss your specific money management needs.

I will be happy to speak to your investment group on how the business cycle impacts investment strategies and the choice of asset classes.

George Dagnino, PhD
Editor, since 1977
Ranked No. 1 market timer by Timer Digest

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