“Believe me my young friend, there is nothing – absolutely nothing – half so much worth doing as simply messing about in boats.” So says Ratty to Mole in Kenneth Grahame’s classic novel ‘The Wind in the Willows’.
Each week I make a decision whether or not to publish the Bullish Percent Indicator data. When I looked at the following tables I concluded – if not this week then what week. It is rare to see four of the ten sectors positioned not only in the over-sold zone, but several show they are bouncing off lows due to the recovery on Thursday and Friday.
Index BPI
The following table shows how hard hit were tech stocks (NASDAQ and NASDAQ 100). With over 50% of stocks in the bearish camp, we are bound to see a rebound, perhaps this spring or summer.
Sector BPI
I think one needs to go back to 2008 and early 2009 to see so many sectors in the over-sold zone. And we may not be finished with the slide. The little boy in Moscow is roiling the world markets, including his own.
While I generally don’t use BPI data to manage portfolios, I am setting TSLOs in many portfolios and along with those TSLOs I am also setting Buy limit orders at percentages below those set for the TSLOs. If you have questions, drop them in the Comment section provided.
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