S&P 500 fell from August high of 2190 to 2153, signaling potential weakness ahead
C, S, and I funds all dropped below 50-day averages, ending bullish trend since April
Market showing signs of fatigue after sideways trading since mid-July
1. On 15 August the S&P 500 closed at 2190, it’s high for the year. Since that time we’ve been in a slight decline, closing this week at 2153. <br>2. We’ve been bouncing around this level since mid-July.<br>3. All three equity funds (C/S/I) closed below their 50 day Moving Averages on Friday. They had been bullish and above that average since mid-April.<br>When you combine the above, the markets appear to be “tired” and as such, we’re recommending a 15 percent reduction in the equity funds.
Recommended Allocation (Moderate Profile)
This is our historical recommendation from this date.
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G Fund
F Fund
C Fund
S Fund
I Fund
20%
5%
20%
30%
25%
TSP TIPS
Professional investment guidance for federal employees, military personnel and independent investors.
1. On 15 August the S&P 500 closed at 2190, it’s high for the year. Since that time we’ve been in a slight decline, closing this week at 2153. <br>2. We’ve been bouncing around this level since mid-July.<br>3. All three equity funds (C/S/I) closed below their 50 day Moving Averages on Friday. They had been bullish and above that average since mid-April.<br>When you combine the above, the markets appear to be “tired” and as such, we’re recommending a 15 percent reduction in the equity funds.