AND….Exhale WINS! Congrats for staying the course and shunning all the NOISE that 2014 has delivered.
The fact is, the S&P reached all time highs this week and the NYSE Bullish Percent (“NYSE BP” for you seasoned AV’ers!) has reversed to OFFENSE at 62%.
An “NYSE BP” refresher:
Simply, the “NYSE BP” is an indicator of the percentage of all stocks on the NYSE that are on a BUY signal. Not a subjective analyst’s “BUY” Signal, Instead it a reading of a factual, data driven, chart of the stocks performance being on a Buy Signal (positive chart of the stock’s price movement). These are 2 very different versions of determining whether a stock is a Buy or a Sell…one is subjective, or “emotional” one is pure data based purely on a stock’s price movement. We only use one version at Alphavest.
Currently, with reading of 62%–this translates to 62% of all stocks traded on the NYSE are on a BUY signal—this is a proverbial tide you don’t want to swim against, RIGHT?
The “NYSE BP” is, of the many indicators we use to guide us (remember: No Emotion…Cokie doesn’t get to choose…), OUR MOST USED INDICATOR.
Why? The “NYSE BP” helps give us a RISK/”temperature reading.” Or to overuse an investing football analogy; the NYSE BP tells us if we are on Offense or Defense and what our “field position” is. In a Bull Market—where we find ourselves today–its important to know our “field position.” We could have the football (AKA we are on Offense) but the “plays” we run would be entirely different than the “plays” we would run if we were on our opponent’s 5 yard line versus OUR OWN 5 yard line. Get it?
Our field position currently is one of OFFENSE and 62%–great field position (over 70% is when we take some caution)
Congrats, again–and remember; We’ve got you managed.
Liberate and Quiet the Noise,
P.S. Want to know more? Click here to email Cokie!