First of all, let me say that none of the information presented here should be construed as financial advice. I'm not going to tell you to buy this,
sell that, margin your margin account, short some majors, put out some call options or call in some put options -- actually, I have very little idea what all that means.
What I'm doing, as an experiment, is trying to predict movement in market sectors over the next week. The sectors I'm using are those defined at e-trade. Coincidentally (?), there are exactly twelve of them, same as the number of astrological signs and houses. Cool. So I assigned each sector to a sign that seemed to make sense to me. A few of them may feel a little shoe-horned in, but that's OK for my purposes.
Here are the twelve sectors along with examples of the sorts of stocks in each. The astrological sign I put with each one is in parentheses:
Capital Goods (Aries) - construction/agricultural supplies and machinery; aerospace/defense; cars.
Financial (Taurus) - insurance; consumer financial services; investment services.
Technology (Gemini) - computer hardware and networks; communications equipment.
Basic Materials (Cancer) - mining; plastics; rubber; iron; steel.
Utilities (Leo) - water; natural gas' electricity
Health Care (Virgo) - biotech; drugs; medical facilities; medical equipment/supplies.
Services (Libra) - printing; security; retail companies.
Consumer, non-cyclic (Scorpio) - personal products; beverages; tobacco; office supplies.
Transportation (Sagittarius) - airlines; trucking; miscellaneous travel companies.
Conglomerates (Capricorn) - conglomerates . . . companies with their hands in everything.
Energy (Aquarius) - oil and gasoline; oil wells; coal.
Consumer, cyclic (Pisces) - jewelry; apparel; furniture; tires.
You might want to save that list (or not), since if/when I do this again, I may not re-publish the list. So, call me lazy.
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The sector reading came out as follows:
Capital Goods: not a good play this week, trending a bit down.
Financial: steady, watch for speculative moves; not for the faint of heart or wallet.
Technology: a building week; look for up movement later.
Basic Materials: good bet for going up; look for problems in management, though.
Utilities: smooth; neither good nor bad this week.
Health Care: confusion, not a good bet this week (due to health care bill in Congress?).
Services: stable, looks good for investment.
Consumer, non-cyclic: down; a bad bet this week.
Transportation: no real movement this week (no pun intended).
Conglomerates: neutral, but look for changes in corporate higher-ups.
Energy: too early, look for movement later; watch news for breaking stories.
Consumer, cyclic: safe, but not a good play now; look for moves later on.
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There you have it. Services looks like the best bet long, as well as Basic Materials. Don't do Health Care or Consumer, non-cyclic, unless you're going short. (Remember: no advice, just observations)
This is pretty general, and there are no indicators here for any given stock. Do your research and invest accordingly, if you're of a mind to. Maybe I'll be able to figure out how to evaluate the accuracy of the reading in a week or so.
["This is what he does with his spare time?"
"Yes," came the whispered reply. "I'm afraid it is."]