etfmsolutions: Year End Surge... 12.31.13

Wednesday, January 1, 2014

Year End Surge... 12.31.13

Last day of the year saw a surge into the close, now taking all the indices into extreme overbought territory. The last hour of the day saw incredible buying strength and ended with SPY as the highs of the day...that's bullish. From a technical standpoint the markets SHOULD go down next but what's going to drive that? All the recent economic news has been positive lately and a simple buy and hold strategy has matched a more actively traded account.

If the models aren't updating its due to problems with the Yahoo data feed...hopefully they will sort that out quickly so we can get back to business. In the meantime the TrendX site should keep you on the right side of the markets.

Although a 5-8% pullback has been widely anticipated in the media the markets are famous for frustrating even the "smartest" investors so the game is still afoot.
Best to just stick with the plan, which for now remains bullish until proven otherwise.

Happy New Year to all with hopes for a prosperous 2014.

This weekend we'll look at some of the lessons learned from 2013 and formulate a brief investment plan for 2014.

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.

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Investing is risky and past performance, whether actual or tested, is no guarantee of future results.
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