On Monday of this week stocks pretty much hit bottom and from there moved strongly up. The move was rather broad based and, as a result, we generated a good list of stocks exhibiting BUY signals based on the short-term indicators derived from daily data. This may not signal an "all clear" for investors but it does seem to show that stocks have firmed, sentiment has improved (despite a raft of awful economic data released this week) and it may be worthwhile to dip a toe into this market on the long side.
Against this backdrop, we see the signals based on daily data showing the most bullish change while the signals based on weekly data at least show less bearishness. Here is the breakdown for this week:
- based on daily data, we have 83 BUY signals and no SELL signals at all (!)
- based on weekly data, we have 5 BUY signals and 25 SELL signals