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Dow 30 Market Timing
By Kenneth Coleman
There are 16 bears, 7 bulls, 4 holds, & 3 basing stocks. This
is about as close to "unchanged" as you usually get when you are
working with 30 stocks.
The NYSE Money Flow Chart gave another sell signal on July 30.
We could see the Dow head down to check its 200-day moving average
at about 10,000. If the Dow holds above this level, we may see a
summer rally in August or September. We are still in a consolidation.
There are about as many bullish investors as there are bearish ones.
Once a consensus has been reached by big block investors, the market
will head where these players lead. In the meantime, until this
consensus arrives, the volatility will get worse.
The volume is below par & it brings to mind an old adage: Never
sell a dull market short & don't sell short on low volume markets.
I believe Alan Greenspan wants a lower dollar value. He feels the
best way to do this is squeeze money out of the stock market. If
Greenspan does not raise rates in August, the markets will rally
unless the media continues to feed on price inflation hype. Keep
your sell strategy & stops in place. Don't let anxiety cause you
to do anything foolish [Editor's Note: Ken's comments/data reflect
his opinion at 7/30/99.
| Corporation |
Symbol |
Phase |
| AT&T |
T |
5 |
| Alcoa |
AA |
4 |
| Allied Signal |
ALD |
5 |
| American Express |
AXP |
4 |
| Boeing |
BA |
3 |
| Caterpillar |
CAT |
5 |
| Chevron |
CHV |
5 |
| Citigroup |
CCI |
4 |
| Coca-Cola |
KO |
5 |
| Disney |
DIS |
1 |
| DuPont |
DD |
2 |
| Eastman Kodak |
EK |
5 |
| Exxon |
XON |
2 |
| General Electric |
GE |
5 |
| General Motors |
GM |
5 |
| Goodyear |
GT |
5 |
| Hewlett Packard |
HWP |
3 |
| IBM |
IBM |
5 |
| International Paper |
IP |
5 |
| J.P. Morgan |
JPM |
5 |
| Johnson & Johnson |
JNJ |
2 |
| McDonald's |
MCD |
4 |
| Merck & Co., MRK |
|
5 |
| Minnesota Mining |
MMM |
1 |
| Phillip Morris |
MO |
2 |
| Proctor & Gamble |
PG |
5 |
| Sears |
S |
5 |
| Union Carbide |
UK |
1 |
| United Technology |
UTX |
5 |
| WalMart |
WMT |
5 |
|
| Phase Suggested |
Action Suggested |
Phase |
Action |
| 1 - 1-1/2 |
Cover Shorts |
5 - 5-1/2 |
Sell |
| 2 - 3 short |
Buy |
6 - 6-1/2 |
Sell Short |
| 3-1/2 - 4-1/2 short |
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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