Special Bulletin: May 25, 2024

Near a Downgrade to Yellow / Thank You to those who gave it All

A “follow-through day” finally happened on the 18th day of the rally attempt on May 15th confirming our C.M.O. signal upgrade to green on the prior day (05/14). Higher volume showed up on those back-to-back days, too.

Our Current Market Outlook remains “Market in an Uptrend” with a green light (the signal upgrade came at 4pm on 05/14/24 with the SPX @ 5,246.68). Our Core Four has slipped to 2 green, 1 yellow and 1 red light with a VIX that remains below its 50-day mav.

The stock market is VERY near moving back to a yellow condition but as long as the major indexes stay above their short-term 10-day mav’s, and the VIX remains below its 50-day mav, the trend is still up, and the light stays green. While the general stock market indexes are holding their 21 and 50-day mav’s, the number of daily new lows on the NYSE has crept up a bit and the advance/decline line has gently slumped. These 2 points are minor for now but are being monitored for further weakness.

While summer has begun and the beach (or mountains) may be calling your name, stay plugged into the markets as the PCE inflation figure will be released this Friday and geo-political events are building, not to mention that the election is only barely over 5 months away.

On a somber note, we remember the lives of millions that have served our nation and ultimately gave their all for the rest of us. We are so grateful for their service. What a great freedom we enjoy that came at a great expense – their precious blood. Please join us in praying for the surviving family members that have lost loved ones in the line of duty. May you have a blessed Memorial Day.

Finally, we also remember with great adoration and gratitude the Ultimate Sacrifice paid by Jesus Christ for all people through His precious blood… shed to cover our sins. His example of selflessness and love is truly breathtaking and awesome. Hail King Jesus! 

“Greater love has no one than this, that one lay down his life for his friends.” John 15:13 NASB 1995

Game plan: Friday’s volume was weak for an up day after Thursday’s distribution day, but it was pre-holiday. Beware of a price reversal on the main indexes that begins a move back towards the 50-day mav’s, especially if accompanied by higher volume. Pray for the peace of Jerusalem (Psalm 122:6-7). May they prosper who love her.

Note: You can learn more about The Triumphant Core Four risk management system by clicking here.

Have a Triumphant day! ®