A Clear, Factual, And Important Message About Stocks

Sep. 02, 2016 7:19 PM ETIVV, SPY, VOO12 Comments
Chris Ciovacco profile picture
Chris Ciovacco


  • Is the current rally confined to the major U.S. indexes?
  • Does the big picture align with the S&P 500’s bullish posture?
  • Which asset class has the best fundamental story?

Hard Evidence Was Helpful Near Major Turns

The chart below shows the S&P 500's 200-day moving average between 1998 and 2010. Given the S&P 500 (SPY) dropped by over 50% on two separate occasions in that period, it was helpful to have tools to monitor the market's risk-reward profile.

What Are The Charts Telling Us Today?

This week's stock market video goes beyond the S&P 500 (VOO) to help us gain a better understanding of the market's bigger picture tolerance for risk. Numerous markets are covered, including gold, silver, and energy. The broader analysis can provide insight beyond the widely followed S&P 500 (IVV).

After you click play, use the button in the lower-right corner of the video player to view in full-screen mode. Hit Esc to exit full-screen mode.



Weekend Reading

If you are new to our posts and would like to dig a little deeper, the recent posts below contain additional examples of "evidence we have in hand".

  1. Is This Long-Term Volume Signal A Warning Flare For Stocks?
  2. How Does 2016 Compare To Stock Market Peaks In 2000 And 2007?
  3. These 4 Charts Say A Lot About The Stock Market
  4. Stock Rally Is Based On More Than Just Central Banks
  5. 2016 Investor Fund Flows Nothing Like Excessively-Optimistic 2007
  6. Will The Jobs Report Induce Another Waterfall Plunge In Stocks?
  7. Messages From Emerging Markets And Cyclicals

This article was written by

Chris Ciovacco profile picture
Chris Ciovacco is the founder and CEO of Ciovacco Capital Management (CCM), an independent money management firm serving individual investors nationwide. The thoroughly researched and backtested CCM Market Model answers these important questions: (1) How much should we allocate to risk assets?, (2) How much should we allocate to conservative assets?, (3) What are the most attractive risk assets?, and (4) What are the most attractive conservative assets? Chris is an expert in identifying the best ETFs from a wide variety of asset classes, including stocks, bonds, commodities, and precious metals. The CCM Market Model compares over 130 different ETFs to identify the most attractive risk-reward opportunities. Chris graduated summa cum laude from The Georgia Institute of Technology with a co-operative degree in Industrial and Systems Engineering. Prior to founding Ciovacco Capital Management in 1999, Mr. Ciovacco worked as a Financial Advisor for Morgan Stanley in Atlanta for five years earning a strong reputation for his independent research and high integrity. While at Georgia Tech, he gained valuable experience working as a co-op for IBM (1985-1990). During his time with Morgan Stanley, Chris received extensive training which included extended stays in NYC at the World Trade Center. His areas of expertise include technical analysis and market model development. CCM’s popular weekly technical analysis videos on YouTube have been viewed over 700,000 times. Chris’ years of experience and research led to the creation of the thoroughly backtested CCM Market Model, which serves as the foundation for the management of separate accounts for individuals and businesses. Copy and paste links into your browser: Market Model: http://www.ciovaccocapital.com/sys-tmpl/ccmmarketmodel/ More About CCM: http://www.ciovaccocapital.com/sys-tmpl/aboutus/ YouTube: http://www.youtube.com/user/CiovaccoCapital Twitter: https://twitter.com/CiovaccoCapital CCM Home Page: http://www.ciovaccocapital.com/sys-tmpl/hometwo/

Disclosure: I am/we are long SPY. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.

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