Where Have All the Buyers Gone?

The Stock Market Timing Calendar shows Friday S&P 500 Index to be a sharp down day; our 30 Factor Model remains BULLISH. The S&P 500 Index is down .05% and has not filled the gap yet, but we expect it to. The Fed left interest rates unchanged and the forward expectation for a March increase declined from 25% to 17%. First quarter earnings to report in April should be 15% to 17% higher than its previous quarter a year ago. PE ratios are going to go down and we will see that the stock market is not expensive.

Where have all the buyers gone? Is Trump scaring everyone away? Or is the superstition that February is always a down month keeping money on the sidelines? We remain LONG as the month end trade plays out. Economic data and earnings should be positive Friday. There is no economic news or significant earnings reports on Monday; traders should be able to move the market up or down on light volume. Since the smart money wants to buy on a dip, it is more likely that Monday will decline than go up. We still believe the gap will fill at a minimum and that it is possible that a sharp rally could take us to new highs.

Our Earnings Stock Model shows the following stocks will likely rise tomorrow on earnings release: AMGN, HIG, PSX, AN. The following stocks will likely decline in price after tomorrow's earnings release: AMZN, V, HNC, LYB.

Check our webpage at www.stockmarketperformancecalendar.com to see if the 30 factor model has changed its position. Add your email to our website to get our model results free daily for one year.

None of our models indications are recommendations. The 30 Factor Model historically has been right 57% of the time and the Earnings Stock Model right 67%. All of our models are based on historical data. The Calendar is still in beta. Past performance is no indication of future performance.