April 14, 2018
Welcome to the Bollinger Bands Letter Weekly Update for Saturday April 14th, 2018.
Smaller stocks are exhibiting some advantage and growth continues to lead value. Interest in the FAANG stocks is re-surging, with more than half of their correction having been reclaimed as of Friday. What I see on the charts is an intermediate-term W bottom that has received initial confirmation. Our outlook for the US stock market remains positive and we are looking towards a retest of the January highs. Sentiment seems to be swinging towards smaller stocks in a sustainable manner, so small cap-growth is our sector of choice for the present. International markets are confirming with the exception of China, which is understandable given the news.
Gold is working on staging a breakout, but the gold stocks continue to lag. I don't think that we are ready to go quite yet, but I remain positive on the sector.
You can advance the stops on our speculative positions recommended two weeks ago for whatever vehicle you chose to just under the April 6th lows. (We recommended SPY and QQQ.)
Ice Breaker continues to carry two open positions in each of the monitored ETFs.
There are no changes to the ETF portfolios this week.
The Value Line remained in the market this week, with the Value Line Geometric at 551.73, and the Friday sell stop is 538.81
The ETF Program portfolio holdings:
Style (21): IUSG, 8, IWF, 9, IWO, 2.
Country (21): EWO, 7, EWI, 2, EWM, 1.
Sector (27): XLK, 7, IAU, 1, XLY, 9.
Details on our Allocations, Ice Breaker positions and ETF portfolios along with our Market Timing Chart Package can be found here:
Until next time, I wish you well.
John Bollinger, CFA, CMT
Copyright 2018 by Bollinger Capital Management, Inc.