Chart Courtesy of StockCharts.com
The Wilderhill Clean Energy Index seems to be picking up steam and is challenging the 210 area.
Chart Courtesy of StockCharts.com
Crude oil prices are trying to hold above $65, but are not being particularly successful.
Chart Courtesy of StockCharts.com
The Philadelphia Oil Service Index (OSX) is once again nearing key chart areas.
Chart Courtesy of StockCharts.com
The Amex Oil Index (XOI) has also delivered new all time highs recently and may also be gathering strength.
Chart Courtesy of StockCharts.com
Two Days Lef In Seasonal Rally
There are two days left in our seasonal portfolio's in the market period. Those following the trading strategy should have entered the market at the open on 5-31, and should exit at the close tomorrow, June 5 at the close.
The rest of the time, this low risk portfolio will be in money market funds. For record keeping, we will be using the 90 day T-bill rate, and a 30 day month to calculate the portfolio's return.
The goal of the portfolio is to build gains over the long term by concentrating on the time during the month when gains are most likely, while minimizing risk by being out of the market most of the time.
Otherwise signs continue to point toward higher prices as the market got a nice lift off in March and the NYSE advance decline line continues to make new highs.
From a longer term stand point, based on historical trends, this should be a positive year for stocks, given the fact that it's the third year of the Presidential Cycle, which calls for rallies in the third and fourth years of a presidency.
Our long term forecast remains upbeat, unless the major indexes fall convincingly below their 200 day moving averages.
What To Do Now
Selectivity remains the key to success. Look for strength, either on a continued basis, or in turn around areas, such as the semiconductors.
Visit all our individual sections, both our ETF and individual stock picks daily for new ideas, and changes to open positions.
Be very methodical about monitoring portfolios, adhering to trading rules, and ratcheting up sell stops is clearly still here.
Second guessing decisions, and hoping that things will turn out o.k. in the long haul, is the recipe for disaster at a time like this in the market.
Check all our sections daily. See tech, biotech, Fallen Angels, and timing systems for the latest adjustments. Our ETF trading systems for energy, Spyders, Small Caps, and technology have also been updated.
Chart Courtesy of StockCharts.com
Chart Courtesy of StockCharts.com
Marathon is leading an already hot oil sector, as retailing profits are likely to remain in place for a while.
Marathon is fully integrated, though, having exploration and refining operations along with natural gas and pipeline operations.
Most interesting is the 8.8 P/E ratio, to go along with a 35% return on equity.
In other words, Marathon is still way undervalued. The market is starting to recognize that fact.
Chart Courtesy of StockCharts.com
Chart Courtesy of StockCharts.com
Chart Courtesy of StockCharts.com
Chart Courtesy of StockCharts.com
Small stocks were nearing new highs on 5-30 and made marginal new highs on 5-31.
