etfmsolutions: T6 Toppy..3.19.13

Tuesday, March 19, 2013

T6 Toppy..3.19.13

Checking in on the T6 (top 2 version) bullish model finds our equity line below the RSQ stop line but upslope on the P6. Surprisingly, the slower P3 line is flat and looking to go either way. SPY and IWM have moved out of range of the #1 ranking with XLF looking to pop in and out of the #1 slot.

The current divergence in the rankings of XLF and QQQ is at odds with our underlying premise that tech and financials will typically lead the markets above resistance levels to new highs.
For now the RSQ for all 6 components is upslope, as is the P6, but we are also seeing evidence in all 6 components that the equity curve is weakening.
As mentioned yesterday...watch the SPY TrendX in the right side panel for an real time view of momentum.

Commentary and Updates

Mosaic Solutions commentary is typically published daily as time permits and market action warrants.
Posts feature Mosaic model updates including delta neutral stops, VIXEN directional trades and PONZO forecasts.

NOTE: Posted risk exposure indicators, signals and metrics apply to Mosaic models only. They are not directly correlated with price movement in the major market indices and can not be used to forecast directional changes in those instruments.
Each Mosaic model is a unique blend of risk factors and must be treated accordingly.

TRENDX is a proprietary Mosaic market signal that blends volume, RSI, momentum and rate of change.

ETF Mosaic Solutions and the editors of Mosaic Solutions are neither an investment advisory service nor registered investment advisers or broker-dealers and do not purport to tell or suggest which securities or currencies readers should buy or sell for themselves.
This site and related software products are for research and educational purposes only, and nothing herein should be construed as an offer to buy or sell, or as a solicitation of an offer to buy or sell securities, or to provide individual investment advice.

Investing is risky and past performance, whether actual or tested, is no guarantee of future results.
Any quantitatively derived allocations referenced herein should only be starting points for conducting your own research.

You are responsible for your own trading decisions and resultant gains or losses. When in doubt, please seek professional guidance from a registered adviser who can respond to your personal needs and risk profile.