Tuesday, October 7, 2014

Tuesday, October 7 Close Update

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Overall:  no change.  Keep your powder dry.

Timer Status:

Short-term timer:  CASH
Intermediate-term timer:  CASH
Long-term timer:  CASH
Long-Cash Ratio:  Increased Monday +3% to 0.213 but FELL Tuesday -12% to 0.188
% Longs in the Database:  15.8%

Slope Table:


Overall down day but mixed in severity.  A falling LCR, combined with a sea of negative slopes (left side) and mixed signals on the slopes of slopes (right side) means go do something fun and ignore the markets.

Cumulative Tick Chart:



Increased number of stocks making 52-week New Lows is the wrong direction.  Serious algorithmic selling in the afternoon ended the day with a net negative in terms of net buying/selling.  The long-term cumulative tick average has turned more negative again, and is being taken south by the real-time cumulative tick (white).

Strategy:

I'm taking Wednesday off, as their is little chance of a buy signal.  I'm nearly 100% in cash.  While we are oversold, we can go further down.  There is no indication that we're at a bottom.

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Standard disclaimers apply.

Regards,

pgd