The Dow Utility Trades To An All-Time High On A Flight To Quality.

Oct. 22, 2014 6:44 PM ETTLT, GLD, XLE, DIA, QQQ, SPY
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I am the Founder & CEO at Global Market Consultants, Ltd. I consider myself as a Financial Engineer with an engineering degree from Georgia Tech and a Master of Science degree from Brooklyn Poly. In 1972 I began my career in the financial services industry trading U.S. Treasury securities in the primary dealer community. I became the first long bond trader for Bache in 1978, and formed the Government Bond Department at LF Rothschild in 1981, helping establish that firm as a primary dealer in 1986. This experience gave me the insights to be an expert on monetary policy, which I feature in my newsletters, and market commentary. I formed Global Market Consultants Ltd at the end of 1988 and expanded on my analysis to include proprietary analytics. While operating Global Market Consultants I was the U.S. Treasury Strategist at Smith Barney 1991 through 1995, was Chief Financial Strategist at William R. Hough in St. Petersburg, Florida 1997 through 1999, and was Chief Market Strategist at Joseph Stevens 1999 into 2008. I began covering U.S. equities in 1997 and began to use ValuEngine as my stock screening tool in 2002 before joining them as Chief Market Strategist between September 2008 and November 2014. I was the Chief Market Strategist at Niagara International Capital Limited between December 2009 and December 2014. In 2005 through 2007 I wrote columns on RealMoney.com and authored TheStreet.com Technology Report. My unique coverage called for the housing bubble to pop in 2005 and for regional banks to collapse in 2006 and early-2007. This is when my proprietary analytics became known as value levels at which to buy on weakness and risky levels at which to sell on strength. I became an Expert Contributor for TheStreet.com in April 2012 and currently write one or two stories a day covering subjects such as: The housing market, community and regional banks, momentum stocks, earnings profiles both before companies report quarterly results and provide scorecards after reporting results. Many of my stories we include moving averages, momentum readings, analysts’ earnings estimates, and value levels and risky levels. Over the years I made frequent appearances on financial TV beginning in 1993 on CNBC covering the U.S. Treasury auctions and as a substitute for John Murphy on his segment called ‘Tech Talk’. I also occasionally appeared on CNN and Bloomberg. On almost every holiday I appeared for an hour covering stocks on a call-in / email-the-expert ‘Talking Stocks’ show on CNNfn. In 2002 I had my own show on Yahoo Finance TV called, ‘Traders’ Club with Richard Suttmeier’. When Fox Business began in late-2007 I was a frequent guest on ‘Money for Breakfast’. I also made appearances on Reuters TV, Yahoo Finance Breakout and BNN in Toronto. In recent years I shifted my focus to making presentations to various investor groups such as: MBA students at the University of Florida and South Florida, The American Association of Individual Investors, Wells Fargo Advisors, The Executive Form at the National Arts Club in NYC, Investors Roundtable of Wilmington NC, The Market Technicians Association, The Information Management Network when they cover Florida Banks in Ft Lauderdale, and the University of Tampa Investment Club. I was president of the Society for the Investigation of Recurring Events in NYC from 2000 into 2009. My background began on Long Island, New York. I graduated from Bay Shore High School in 1962, and was a member of the Honor Society, Golf Team, Math Team and Band. I graduated from Georgia Tech in Atlanta with a Bachelor of Industrial Engineering Degree in 1966, and was a member of Chi Phi Fraternity, the freshmen Golf Team, and was the captain of the Bowling team. I won the South East Regional Bowling Tournament in 1964 and won the National Intercollegiate Bowling Championship in the Doubles Event that same year. I graduated from Brooklyn Poly in 1970 with a Master of Science in Operations Research, Systems Analysis. My first job out of Georgia Tech was with Grumman Aerospace on Long Island 1966 through 1970 with project assignments on the Lunar Module and F-14 Tomcat Fighter Jet contract proposal. I was with Bank of New York in 1971, as the Senior Systems Analyst for computer applications for the Bank’s International Division. When I shifted my to Wall Street In 1972 I became a U.S. Government securities trader at Briggs Schaedle, a primary dealer where my father was Vice Chairman and my brother was Sales Manager. In 1977 I joined Loab Rhodes as a U.S. Treasury trader. Then my career advanced as noted above. I have been married to Linda since June 1969 and we are the parents of Stephen and Jason Suttmeier. Stephen has been married to Jennifer since 2004 and we have a granddaughter Emily and a grandson Robert. We have been living in Land O’ Lakes, Florida with Jason and his partner James since June 2009.

While not one of the five major averages, the dividend-laddened Dow Utility Average traded to an all-time intraday high at 580.40 on Thursday.

Wednesday's downside reversal still has Dow Transports just above its five-week modified moving average at 8305. The Other major averages are below their five-week modified moving averages at 16819 Dow Industrials, 1950.3 S&P 500, 4421 Nasdaq and 1114.89 Russell 2000.

At last Wednesday's lows the major averages were either in correction mode or close to it. Dow Industrials down 8.6%, S&P 500 down 9.8%, Nasdaq down 10.7%, Dow Transports down 11.6% and Russell 2000 down 14.3%.

The all-time or multiyear intraday highs are 17350.84 (Sept. 19) Dow Industrials, 2019.26 (Sept. 19) S&P 500, 4610.57 (Sept 19) Nasdaq, 8714.94 (Sept. 19) Dow Transports, and 1213.55 (July 1) Russell 2000).

This week's risky levels or pivots are 16761 Dow Industrials, 1931.0 S&P 500, 4371 Nasdaq and 8315 Dow Transports, with a weekly pivot at 1082.78 on the Russell 2000.

Monthly and quarterly risky levels are 17779 and 18045 Dow Industrials, 2079.2 and 2094.6 S&P 500, 4609 and 4713 Nasdaq, 8790 and 9418 Dow Transports and 1159.82 and 1292.59 on Russell 2000.

Semiannual and annual value levels will remain at 14835 and 13437 Dow Industrials, 1789.3, 1539.1 and 1442.1 S&P 500, 3972, 3471 and 3063 Nasdaq, 7423, 6249 and 5935 Dow Transports and 966.72 and 879.39 Russell 2000 with a semiannual pivot at 16301 Dow Industrials.

Semiannual risky levels remain at 18522 Dow Industrials, 2080.3 S&P 500, 4642 Nasdaq and 1285.37 on the Russell 2000. Semiannual pivots remain at 8447 Dow Transports and 1139.81 Russell 2000.

Dow Industrials: (16461) Daily and annual value levels are 16170, 14835 and 13467 with a semiannual pivot at 16301, a weekly risky level at 16761, the Sept. 19 all-time intraday high at 17350.64 and monthly, quarterly and semiannual risky levels at 17779, 18045 and 18552.

S&P 500 - (1927.1) Daily, semiannual and annual value levels are 1885.9, 1789.3, 1539.1 and 1442.1 with a weekly pivot at 1931.0, the Sept. 19 all-time intraday high at 2019.26, and monthly, quarterly and semiannual risky levels at 2079.2, 2094.2 and 2080.3.

NASDAQ - (4383) Daily, semiannual and annual value levels are 4309, 3972, 3471 and 3063 with a weekly pivot at 4371, a monthly risky level at 4609, the Sept. 19 multiyear intraday high at 4610.57 and semiannual and quarterly risky levels at 4691 and 4713.

NASDAQ 100 (NDX) - (3950) Daily, semiannual and annual value levels are 3846, 3515, 3078 and 2669 with a weekly pivot at 3931, quarterly and semiannual risky levels at 4060 and 4105, the Sept. 19 multiyear intraday high at 4118.91, and monthly risky level at 4152.

Dow Transports - (8312) Semiannual and annual value levels are 7423, 6249 and 5935 with daily, weekly and semiannual pivots at 8348, 8315 and 8447, the Sept. 19 all-time intraday high at 8714.94 and monthly and quarterly risky levels at 8790 and 9418.

Russell 2000 - (1096.87) Weekly and annual value levels are 1082.78, 966.72 and 879.39 with daily, semiannual and monthly risky levels at 1114.09, 1139.81 and 1159.82, the July 1 all-time intraday high at 1213.55 and semiannual and quarterly risky levels at 1285.37 and 1292.59.

The SOX - (596.93) Semiannual and annual value levels are 512.94, 371.58 and 337.74 with daily and weekly pivots at 594.33 and 596.82, a semiannual risky level at 608.03, the Sept. 19 multiyear intraday high 659.64, and quarterly and monthly risky levels at 687.65 and 691.22.

Dow Utilities: (576.08) Quarterly, annual, semiannual and annual value levels are 553.35, 548.70, 523.72 and 497.53 with daily and weekly pivots at 572.24 and 562.37, the Oct. 22 all-time intraday high at 580.40 and monthly and semiannual risky levels at 589.67 and 612.49.

10-Year Note - (2.220) Annual, monthly, weekly and quarterly value levels are 2.263, 2.448, 2.414 and 3.258 with daily, semiannual and annual risky levels at 2.079, 1.999 and 1.779.

30-Year Bond - (2.994) Semiannual, monthly, annual, weekly, and quarterly value levels are 3.082, 3.089,3, 3.202, 3.283, 3.128 and 3.963 with daily and semiannual risky levels at 2.878 and 2.487.

Comex Gold - ($1240.9) Weekly and quarterly value levels are $1188.5 and $906.43 with daily, monthly, semiannual and annual risky levels at $1256.0, $1305.2, $1613.0, $1738.7 and $1747.4.

Nymex Crude Oil - ($80.32) A daily value level is $78.78 with a weekly pivot at $86.15 and monthly, quarterly, semiannual, annual and quarterly risky levels at $100.07, $102.66, $106.48 and $107.52.

The Euro - (1.2644) Weekly and semiannual value levels are 1.2361 and 1.2203 with a daily pivot at 1.2844 and monthly, annual and quarterly risky levels at 1.3309, 1.3382 and 1.3603.

The Dollar versus Japanese Yen - (107.12) Daily and annual value levels are 105.87 and 93.38 with a monthly pivot at 105.94 and weekly and quarterly risky levels at 110.71 and 123.64.

The British Pound - (1.6049) A weekly value level is 1.5856 with daily, quarterly and annual pivots at 1.6057, 1.6210 and 1.6262 and monthly and semiannual risky levels at 1.6907 and 1.7302.

To learn more about ValuEngine check out www.ValuEngine.com. Any comments or questions contact me at RSuttmeier@gmail.com.

Disclosure: The author has no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

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