US Equity Trend Strengthens

Posted by on Sunday, Oct 1, 2017 in Updates & Commentary | 0 comments

US Equity Trend Strengthens

The Model:  Momentum has been broadening from several perspectives.  The KP Model Trend condition remains green.

Comment:  The market advance so far in 2017 feels quite restrained when we experience the price action day by day.  Low volatility, fractional advances.

But as we zoom out a bit, those modest daily gains have combined to a rather spectacular advance over the past year.  Since the last time the Model was red —  late in February of 2016 — the US markets have essentially been straight up, through Brexit and the Trump election, as the chart makes clear.

Now, we enter into the month of October, seasonally one of the most difficult months of the year.  Yet, the internal data that we follow every day is broadening again, and Wall Street commentators are perplexed.  Simply following the money continues to serve us well.

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