Here We Go: Stock Market Selloff Starts Tomorrow?

http://www.toptradeguru.com/news/here-we-go-stock-market-selloff-starts-tomorrow/ ^ | 5/28/2020 | Evan

[wrrock]

A couple of major signals suggest market selloff soon.

As of past couple of days, T-Bond Futures are not correlating with the current rise in the stock market; this has historically meant a selloff eminent.

Second, volume analysis suggests the very upper limit of this rally is when the S&P hits 3069 for this week. So, the selloff could come today (5/28/2020) if S&P hits 3069.

[Da Coyote]

Ah, a model, eh?
Let’s check back in a couple of days and see if it’s a liberal model or a real one.

[billorites]

Thousand point advance in just one week. Tomorrow is a Friday...

Stock Market Selloff Starts Tomorrow?

Ya think?

[Wuli]

“this has historically meant a selloff eminent”

The stock market has not been behaving tightly within “historical norms” in relation to bonds and bond futures, due to immediate factors outweighing the analysis based on those relationships.

[diatomite]

This may happen, but if it doesn’t, does he ever eat the broken glass of his “crystal ball?”

[glorgau]

Last chance for “sell in May and go away”.

[bobrlbob]

What crap is this, FEAR.

[glorgau]

Also, it’s another stock trader taking out their crayons and drawing all over some charts.

[Laslo Fripp]

Got the Powerball numbers for this weekend?

[Leaning Right]

Here’s why I view the article’s conclusion with skepticism. In the old days one could exit the stock market and go into bonds paying maybe 6 or 7% (or more). But now those bond are paying, at best, maybe 1 or 2%. So long-term there is really nowhere to go except the stock market.

But it is worth noting that Warren Buffett has never called me for advice. So what do I know?

[jstolzen]

Few things make me as happy as seeing these supposed market fortune tellers be proven TOTALLY wrong.

Hopefully the same thing happens to this guy’s prediction on market close tomorrow.

[jstolzen]

I recently saw this called “TINA” for..

There Is No Alternative (to stocks). Not if you want to keep pace with inflation at a minimum.

[I want the USA back]

Sure. I’m going to save this link and see if it comes within a mile of the truth.

[rigelkentaurus]

market selloff?? lol

This market cannot go down. It is immune from earnings reports or economic news. SPX broke above the 200ma without the slightest effort. It will be at all time highs in just another week or two.

[Leaning Right]

Those charts are like tea leaves. You can see in them whatever you want to see. That’s why I should have gone into the financial chart-reading field. Your bad calls are soon forgotten. But randomly call something right on the nose, and your reputation is made.

[RummyChick]

The hot stock PENN flashed a Demark 9 signal and someone bought a bunch of puts that expire tomorrow..so I bought some puts with time.

Worked out great. at least for the moment. Havent sold yet.

Same person that alerted that trade also warned there are more with the Demark signal

Doesnt always work

[Raycpa]

S&P is up more than 9% in past 12 months. Average historical return runs 10-11%.

[algore]

the real question is when Silver will Soar past $50 again

Fed QE indicators say it will do so soon

but ya never know cause the Fed lies

[Jim from C-Town]

Good, I want to buy some more high yield Dividend Stocks. Been doing so for months up over 30% & earning 15% annual yield.

[Political Junkie Too]

Second, volume analysis suggests the very upper limit of this rally is when the S&P hits 3069 for this week. So, the selloff could come today (5/28/2020) if S&P hits 3069.

Some things to consider...

• The S&P 500 is dominated by five stocks that make up 50% of the value: Microsoft, Apple, Amazon, Alphabet, Facebook.
  • This S&P 500 chart is from 2018. The ratios between the top 5 have changed slightly, but the overall picture is essentially the same.
  • 
• The Dow Jones Industrial Average is made up of only 30 stocks.
  • This Dow chart is from 2019.

  • Dow Jones Stock	% Weight  in the  Index
    Boeing	9.88
    Goldman Sachs	7.26
    3M	6.52
    UnitedHealth Group	6.30
    Home Depot	5.01
    Apple	4.83
    Caterpillar	4.37
    McDonalds	4.35
    IBM	4.24
    Travelers	3.84
    United Technologies	3.63
    Johnson & Johnson	3.57
    Visa A	3.34
    JPMorgan Chase	3.18
    Chevron	3.08
    Disney	2.84
    American Express	2.70
    Microsoft	2.55
    Walmart	2.48
    Procter & Gamble	2.18
    ExxonMobil	2.10
    DowDuPont	1.96
    NIKE B	1.84
    Merck	1.48
    Intel	1.35
    Verizon Communications	1.30
    Cisco Systems	1.22
    Coca-Cola	1.18
    Pfizer	1.00
    General Electric	0.39

When they talk of a sell-off, they're talking mostly about 35 stocks in the indices.

-PJ