And The Beat Goes On...

Markets had a good day today, as they continue their recent winning streak.  AA and CSX gave the markets something to rally over and it appears that INTC is contributing fuel for tomorrow since it's up 7% in after hours trading today.

Here's a quick look at some of my indicators that I update and maintain myself.  First up, the TLT Oscillator:

As you can see, the Oscillator score is positive (bullish) and the moving average just crossed into positive territory today (very bullish).  This indicator tells me that the intermediate trend is up for now..time to look for longs if you're not long already.  Of course this is subject to change as a couple of good down days could provide a negative score and drag the moving average back down to negative territory.  So I'm not saying that we should all pile on the longs and hold them right now, I'm just saying that this indicator (one that has been pretty reliable but subject to it's own set of limitations) says that the path of least resistance right now is up.

Another indicator to check on that I've posted about before is the Overbought/Oversold Indicator:

The Overbought/Oversold Indicator just crossed over the 4 mark into overbought today.  This means that I'll will be waiting for the market to back out of the overbought territory before entering any longs (assuming the trend is still bullish when we pull back).  I guess it's just a wait and see type of thing now.

TLT

Overbought/Oversold Indicator Update: Back Into Neutral

Here's an update to my Overbought/Oversold indicator. This indicator is constructed by taking readings from 30 different stocks in 10 sectors and averaging their current readings over a couple of different time frames. As you can see, we just went from oversold to neutral.At this point, I am patiently waiting for it to reach the "Buying Pressure" levels and then I will look for short signals to initiate new short positions. The short positions will be premised on the market still being in a downtrend overall, which it is right now.

TLT

Overbought/Oversold Indicator

I've been tracking my own overbought/oversold indicator that takes an average of all 30 stocks that I track every day. Here's a shot of today's reading of 1.575:No surprise that it registered an oversold reading today. What does that mean for me? It means that I will not initiate any new shorts while we are oversold. I am short right now and am carefully trailing a stop in TZA. We'll see what tomorrow brings.

TLT