Market Update: 25 May 2023
The market has rolled over a bit since breaking the 4200 resistance level, and there is a lot of angst about the debt ceiling. There is reason to be cautious but the Bulls are hanging in there!
In this Market Update, we look at the current support/resistance levels of the C fund and our lines in the sand. More importantly, we look at a chart of yield and the C fund. It’s the Most Important Chart to Watch Now! The correlation between yield and stocks will tell us the direction of this market…
The Grow My TSP Team
And, sell in May and walk away histogram adds to the equation. Classic chart on Sectors too.
Thank you for the update. I was wondering what you were thinking. Appreciate it.
Thanks for the update! If I recall, for the current GMTSP allocation, the line in the sand for the c fund is a close below 4050? And yes, while watching some financial news today, many were commenting on the narrow breadth in the S &P. It was a bit disconcerting to hear the percentage of stocks down to up….and the weight of the S &P being primarily carried by big tech and AI. Thanks again for the update.
Thanks Tim. Yes, a close below 4050 would be a serious problem. Ideally, price and the technical indicators would give us a sell signal long before 4050.