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Dow 30 Market Timing
By Kenneth Coleman
There are 15 bears, 5 bulls, 7 holds, & 3 basing stocks. The Dow
has broken below its 200 day moving average. The S&P 500 has breached
its 200 day moving average. The only market still above its 200
day moving average is the Nasdaq. The telling number is about Dow
9300. This is a point the Dow would register a 20% correction &
it is also the point most analysts consider triggers a major change
in market sentiment. The market moves from being bullish to bearish.
The expectation then is for a recession.
The fundamentals for this are a weak dollar, rising prices, &
higher interest rates. The fundamentals that would abort a 20% correction
& subsequent recession would be a lower valued dollar without raising
interest rates or massive liquidity. What is my guess? If the Fed
reacts to the correction without lowering interest rates, then it's
depending on liquidity from abroad. It would be ironic if Y2K actually
saves the market. [Editor's Note: Ken's comments/data reflect his
opinion at 9/24/99.]
| Corporation |
Symbol |
Phase |
| AT&T |
T |
5 |
| Alcoa |
AA |
4 |
| Allied Signal |
ALD |
5 |
| American Express |
AXP |
3 |
| Boeing |
BA |
5 |
| Caterpillar |
CAT |
5 |
| Chevron |
CHV |
1 |
| Citigroup |
CCI |
4 |
| Coca-Cola |
KO |
5 |
| Disney |
DIS |
4 |
| DuPont |
DD |
5 |
| Eastman Kodak |
EK |
3 |
| Exxon |
XON |
5 |
| General Electric |
GE |
3 |
| General Motors |
GM |
4 |
| Goodyear |
GT |
5 |
| Hewlett Packard |
HWP |
4 |
| IBM |
IBM |
3 |
| International Paper |
IP |
1 |
| J.P. Morgan |
JPM |
5 |
| Johnson & Johnson |
JNJ |
5 |
| McDonald's |
MCD |
4 |
| Merck & Co., MRK |
|
5 |
| Minnesota Mining |
MMM |
4 |
| Phillip Morris |
MO |
5 |
| Proctor & Gamble |
PG |
3 |
| Sears |
S |
5 |
| Union Carbide |
UK |
5 |
| United Technology |
UTX |
5 |
| WalMart |
WMT |
1 |
|
| Phase Suggested |
Action Suggested |
Phase |
Action |
| 1 - 1-1/2 |
Cover Shorts |
5 - 5-1/2 |
Sell |
| 2 - 3 |
Buy |
6 - 6-1/2 |
Sell Short |
| 3-1/2 - 4-1/2 |
Hold |
7 - 7-1/2 |
Hold Short |
[Editor's note: Ken Coleman is the country's
only "Investment Tracker." He tracks all the money flowing into
& out of the total investment spectrum of G7 nations. Due to his
unprecedented timing predictions using money flow analysis, he,
like Larry Oakley, is in Who's Who in the World in Finance & Industry.
He is editor of Kenneth Coleman's Investment Tracker newsletter.
Call him at 760-720-0107 or call the publisher at 800-380-2891.]
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