Intermediate Outlook Moves to Neutral

The intermediate market outlook from "A Dash" is reported weekly on the TickerSense Blogger Sentiment Poll.  Ticker Sense reports the aggregate vote of participating bloggers, and the individual votes on a voluntary basis.  Here is the history from the site.

We have been reporting our changes in market outlook, although this policy might change at some point.  Many bloggers keep their positions secret.

Our vote this week moves to neutral, from the bullish call we initiated on April 9th.  Since the opening on that date DIA has gained 6.7%, SPY 4.1%, and QQQQ 5.1%.

Basis for Intermediate Forecasts

Our intermediate forecast is based upon work by our chief modeler, Vince Castelli.  One of his models generates signals on individual stocks as well as ETF’s and market indices.  The (over-simplified) description of the model is that it captures both trend-following and cyclical characteristics using his proprietary technical criteria.

How We Use This

The intermediate signal influences the overall asset allocation of our managed funds, including the capacity for significant hedging and short positions.

For long-term investors, we make marginal position adjustments with the intermediate outlook in mind.

It does not change our fundamental analysis, including our expectation for a strong second half in 2007.

Not a Recommendation

Readers should note the disclaimer on our site.  We do not make specific stock or market timing recommendations to those who are not clients.  Each person’s situation is a little different.  Signals like our intermediate call are often "choppy."  It is not unusual to see the signal make weekly changes at key points.  Many individual investors make mistakes by trying to time the market.

While market timing can be profitable it requires a good method and constant attention.

Whatever one’s approach, it pays to be flexible and respond to new information in an objective way.