Markets by relative strength

Each day that Wall Street is open for business I monitor benchmarks for 18 different markets to gauge relative strength. The results help me to identify regions of the world or categories of US stocks currently exhibiting positive momentum. The ranking is derived by applying a proprietary formula which incorporates performance over a variety of time periods, with more weight given to recent price activity. This is just one of many filters I use in determining newsletter model portfolio and managed account client recommendations. The list looks like this as of Friday’s close:

                             Markets by Relative Strength

1.  Japanese equities                                               10.  S&P 400
2.  European equities                                              11.  Nasdaq 100 Index
3.  Asian equities                                                      12.  US High Yield Bond
4.  S&P 500 Index                                                    13.  Russell 2000 Index
5.  International equities                                        14.  International Bond
6.  US equities                                                           15.  US Municipal Bond
7.  Wilshire 5000 Index                                          16.  US Bond
8.  Dow Industrial Average                                    17.  Latin American equities
9.  Nasdaq Composite Index                                  18.  Gold

Your thoughts?

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: