iM Update – January 12, 2018

Market Signals Summary:          

The MAC-US model is invested.  Also, the “3-mo Hi-Lo Index of the S&P500” generated a buy signal on 10/3/2017 and is invested in the markets. The monthly updated S&P500 Coppock indicator is also invested.  The MAC-AU is also invested.  The recession indicators COMP and iM-BCIg do not signal a recession.  The bond market model avoids high beta (long) bonds, and the  yield curve is flattening. Both the gold and silver Coppock models are invested, and the iM-Gold Timer is in gold since 7/10/2017.



Fig-2.-1-12-2018The MAC-US model generated a buy-signal 4/5/2016 and thus is invested in the stock-markets. The sell-spread (red graph) is above last week’s level and has to fall below zero to signal a sell.



Fig-2.2-1-12-2018The 3-mo Hi-Lo Index of the S&P500  is  above last week’s level  at 13.12% (last week 11.34%) and is in the market since 8/22/2017.




Fig-2.1-1-12-2018The MAC-AU model is invested in the markets after it generated a buy signal on March 21, 2016. The sell-spread is above last week’s level and has to fall below zero to signal a sell.

This model and its application is described in MAC-Australia: A Moving Average Crossover System for Superannuation Asset Allocations.



Fig-3.-1-12-2018Figure 3 shows the COMP  below last week’s  revised level. No recession is indicated.    COMP can be used for stock market exit timing as discussed in this article The Use of Recession Indicators in Stock Market Timing.



Fig-3.1-1-12-2018Figure 3.1 shows the recession indicator iM-BCIg  is up from last week’s level. An imminent recession is not signaled .

Please also refer to the BCI page



Fig-3.2-1-12-2018The Forward Rate Ratio between the 2-year and 10-year U.S. Treasury yields (FRR2-10) is below last week’s level and is not signaling a recession.  The FRR2-10 is trending downwards.

A description of this indicator can be found here.

Posted in pmp free update

Leave a Reply

With reference to Section 202(a)(11)(D) of the Investment Advisers Act: We are Engineers and not Investment Advisers, read more ...
By the mere act of reading this page and navigating this site you acknowledge, agree to, and abide by the Terms of Use / Disclaimer
Share This