{"id":485,"date":"2005-03-09T01:33:32","date_gmt":"2005-03-09T06:33:32","guid":{"rendered":"http:\/\/selfinvestors.com\/tradingstocks\/mail-bag\/tracking-market-health-industry-strength\/"},"modified":"2005-03-09T01:33:32","modified_gmt":"2005-03-09T06:33:32","slug":"tracking-market-health-industry-strength","status":"publish","type":"post","link":"https:\/\/selfinvestors.com\/tradingstocks\/mail-bag\/tracking-market-health-industry-strength\/","title":{"rendered":"Tracking Market Health & Industry Strength"},"content":{"rendered":"

Question<\/strong>:<\/p>\n

Where do the industry strength and general market conditions come in?
\nAs I’ve learned the hard way – the street can kill you
\nif a stock’s group is not in favor or they’re reducing their weight in the
\ngroup. And of course if the NAS is shaky the breakouts fail. The group thing
\nis the hardest for me to conceptualize because by the time a leading group
\nis ranked high it has possibly already made it’s run up and isn’t
\nnecessarily safe to buy. [edited] is basically saying that the group stays off
\nthe radar until it is in the top 25% or so of his 197. Maybe that’s too
\nlate. I have written some reports in ms access (using DailyGraphs group
\ndata) to try to catch which groups are moving up. Also, Prophetnet’s screen
\nis excellent but there are a ton of groups (detail overkill?). Anyway, it
\nseems like when the market gets hot on a group they’ll buy almost anything
\nhalfway decent in the group. But when they decide to cycle out ya better get
\noff the train tracks. Don’t laugh at me but I almost think it’s all about
\nthe groups! Look at today – Oil & Gas forever – again. Thanks for listening<\/p>\n

My Response<\/strong>:<\/p>\n

When making the decision to buy or sell a stock, first and foremost in your
\nmind should be "what is the health of the market?" and which industry groups
\nare leading?  You’ll notice the the members portal begins with the Market
\nOutlook page where I post articles taking a look at the market from a
\ntechnical and psychological standpoint.  The calendar there provides a look
\nat accumulation and distribution days.  The Market Strategy box details the
\nbest strategy, given current market conditions.  Right now, there is
\nuncertainty with a bullish bias which is why I recommend being only 50%
\ninvested in the strongest industry groups.<\/p>\n

The next tab you come to is the Top Industries tab which displays top groups
\nbased on 10,20 and 30 day performance.   From my experience, this table
\nspots new trends long before they appear in [edited].  What I do is look for
\ngroups that appear in the 10 day performance and make a note of it.  If they
\ncan then make the move to the 20 day performance, more often than not this
\nmeans a group is making a move.  I would focus on that group and look for
\nstocks breaking out.  What you’ll find is that there may be several all
\nsetting up for a breakout at the same time.  Right now, it’s still all about
\ntransportation (trucking, railroads), chemicals, oil and metals (copper,
\ngold, silver).  While some profit taking has occurred, they continue to show
\nup in the top performances, so you should continue to concentrate in these
\nareas.  To find buy candidates from leading industries, you could click on
\nthe "show all stocks" link under the Top Industries tab which will display
\nall stock in the Breakout Tracker that belong to the idustries listed in the
\nTop Industries performance table.  To find stocks that have yet to break
\nout, sort by B\/O Date to display stocks with no date.  Then look for high
\ntotal rank and RS rating.<\/p>\n

Be sure to take a look at my detailed report<\/a> taking a look at how I go about
\nfinding the best performing industries\/sectors (I place much emphasis
\non ETF’s now)<\/p>\n","protected":false},"excerpt":{"rendered":"

Question: Where do the industry strength and general market conditions come in? As I’ve learned the hard way – the street can kill you if a stock’s group is not in favor or they’re reducing their weight in the group. And of course if the NAS is shaky the breakouts fail. The group thing is … Continue reading Tracking Market Health & Industry Strength<\/span> →<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[19],"tags":[],"class_list":["post-485","post","type-post","status-publish","format-standard","hentry","category-mail-bag"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/posts\/485","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/comments?post=485"}],"version-history":[{"count":0,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/posts\/485\/revisions"}],"wp:attachment":[{"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/media?parent=485"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/categories?post=485"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/tags?post=485"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}