Turov and the Trader’s Wire Market Opinion for Monday, October 30, 2017

Turov and the Trader’s Wire Market Opinion for Monday, October 30, 2017

by Daniel Turov

The SPX advanced sharply Friday to close at 2581.07 on the heels of superb earnings from Amazon and Google.  For the week as a whole, the SPX advanced 5.86 points, and TOT daily traders broke even as Monday’s purchase was stopped out on Friday as at the same price.

Since initiation of the Turov on Timing service on September 30, 1993, our daily trader recommendations have gained 17496.90 cumulative SPX points, compared to a gain of 2122.14points in the index itself over the same period.  That’s a ratio of 8.24 to one.  (Please note that any day in which the daily trader recommendation fails to outperform the SPX by at least a ratio of +8.24 to one, since that’s the ratio of outperformance already achieved, that ratio will decline.)

(The commentary in this paragraph last updated August 1, 2017) The super long term perspective (a prediction, not a forecast!) for the stock market remains bearish (within the context of a medium term bull market).  I believe that, adjusted for REAL inflation (not the funny numbers the Social Security Administration uses) the stock market may be lower in real dollars in 2020 than it was in 2000, although higher in nominal dollars.  For a long time, I’ve been saying, “I also expect that our new 2016-elected President will have some very serious problems during his/her single term in office.”  That belief stands, and we see it happening already.

(The commentary in this paragraph last updated October 17, 2017) The Intermediate Term model remains neutral.  I expect the market to have a severe selloff sometime relatively soon – but not yet.  As described in the October monthly TOT, a non-economic catalyst will most likely be the driver behind such a reversal in the market, and the timing of such a catalyst is not possible at the present time.  The odds favor the market drifting higher UNTIL something bad and unexpected occurs.

While the market advanced sharply on Friday, the Dow Industrials had a mediocre day, gaining only 0.14%, less than 1/20th the gain in the Nasdaq index, and about 1/6th as much as the SPX.  While there was a loss in the Dow ETFs, the Diamonds (DIA), of the same 0.14%, it didn’t hurt Turov on Overnight Possibilities subscribers  badly.  On Thursdayafternoon, our sister publication, Turov on Overnight Possibilities, recommended shorting DIA and had a negligible loss on the day.  A subscription to Turov on Overnight Possibilitiesfrom now through year-end 2017 is available by going to www.paypal.com and remitting $166 to investmentadvice@aol.com.

Although the intuitive feeling is that the market will endure profit taking today, the daily model is quite bullish.  TOT daily traders are advised to go 300% long at SPX 2582 stop.  If the SPX declines to 2578 before reaching 2482, lower the entry buy stop to SPX 2580.  And for each additional 2 point decline, if it occurs, lower the stop by an equivalent 2 points. Once long, use a 1% protective sell stop on the position.

Daniel Turov

In 1994, he was named “Supertrader of Wall Street” by the Stock Trader’s Almanac.

In 2001, he was named “Supertrader of the Millennium” by the Stock Trader’s Almanac.

He’s been a Securities and Exchange Commission Registered Investment Advisor and a member of the National Futures Association and is licensed by the State of California as a Life agent.

Since 1993, he’s authored Turov on Timing, a monthly and daily publication specializing in stock market timing. Turov Investment Group Inc. (as a corporation) and Daniel Turov (as an individual) are California licensed Registered Investment Advisers. Investors from all 50 U.S. states and most foreign nations are welcomed as clients.

Turov on Timing (TOT) is written by Daniel Turov. It is structured as a monthly newsletter plus a daily email service. Each day that I’m physically in the United States (on average, all but about ten business days a year), I email a daily message by midnight Pacific time to subscribers. I also send out special intraday messages when I deem them appropriate. On average, that’s a total of about 400 emails a year.

Each daily email reports on my Daily Model, Intermediate Term Model, and my Long Term Perspective. For a Track Record of the Daily Model recommendations, from September 1993 through February 2017, click here

The cost of the daily email service is only $397 per year (about $1 per email), and email subscribers receive, free of additional charge, the monthly newsletter. The cost of the monthly newsletter alone (i.e., without the daily message) is $95 per year if you want to receive it by email or $195 per year if you want to receive it by US Mail.

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About the author

Daniel Turov

In 1994, he was named “Supertrader of Wall Street” by the Stock Trader’s Almanac. In 2001, he was named “Supertrader of the Millennium” by the Stock Trader’s Almanac. He’s been a Securities and Exchange Commission Registered Investment Advisor and a member of the National Futures Association and is licensed by the State of California as a Life agent. Since 1993, he’s authored Turov on Timing, a monthly and daily publication specializing in stock market timing. Turov Investment Group Inc. (as a corporation) and Daniel Turov (as an individual) are California licensed Registered Investment Advisers. Investors from all 50 U.S. states and most foreign nations are welcomed as clients. Turov on Timing (TOT) is written by Daniel Turov. It is structured as a monthly newsletter plus a daily email service. Each day that I’m physically in the United States (on average, all but about ten business days a year), I email a daily message by midnight Pacific time to subscribers. I also send out special intraday messages when I deem them appropriate. On average, that’s a total of about 400 emails a year. Each daily email reports on my Daily Model, Intermediate Term Model, and my Long Term Perspective. For a Track Record of the Daily Model recommendations, from September 1993 through February 2017, click here The cost of the daily email service is only $397 per year (about $1 per email), and email subscribers receive, free of additional charge, the monthly newsletter. The cost of the monthly newsletter alone (i.e., without the daily message) is $95 per year if you want to receive it by email or $195 per year if you want to receive it by US Mail. Click Here To Subscribe To Turov On Timing