The continuing theme of slow growth, uh, continues. There really was no reason to fear a recession. It appears as if there were a lot of folks leaning the wrong way. We are seeing a pick up in most all of the economic data, but not at a rate that is going to make the Fed jump in and kill it.
Meanwhile, the Black Box sell signal has a bit of egg on its face so far. Which is why I don’t follow it as a mechanical system. Still, it usually isn’t wrong – and when it is wrong, it’s not by much. It is still at a point where a whoosh down would create a second sell signal. It’s not unprecedented to see consecutive sell or buy signals within a few percent of each other, as the market reaches overbought or oversold levels.