Founded in 1992, Jackson Wealth Management is an independent, fee-only investment advisor. Founder George P. Jackson has been the CEO/CIO of the firm since its inception with the goal of delivering value to his clients and his associates. 

Securities Offered through Triad Advisors, LLC. Member FINRA/SIPC
Advisory services offered through Jackson Wealth Management, LLC. 
Jackson Wealth Management, LLC is an affiliate of Jackson Retirement Planning, Inc.
Jackson Wealth Management, LLC is not affiliated with Triad Advisors, LLC.

755 Primera Boulevard, Suite 1001

Lake Mary, Florida 32746

Trading Range

December 7, 2018

  

12/7/2018 10:15 AM

 

Dear Friends,

 

Trading Range

Note the chart below – the 1 year daily chart of the S&P 500 index of large US stocks:

  • The Trading range is shown within the blue box

  • The top of the range (resistance) is approx. 2790-2815

  • The bottom of the range (support) is approx. 2603-2631

  • This is a wide trading range – approx... 8% from top to bottom

  • There is no long-term trend that we can now identify

  • We will not know the trend until:

    • a market breakout through the top of the range or

    • a breakdown through the bottom of the range

 

Volatility

Volatility as measured by the VIX Index, had been trending down since the spike in February 2018. 

 

But, we had another spike up in October 2018.

 

I have marked the old and new trading channels for the VIX index in blue below.

 

 

What should you do?

I remain optimistic that market concerns will resolve themselves in time:

  • Mueller news

  • US-China trade “war” – why is everything a war?

  • Inverted Yield Curve – I will address this soon in another email

  • Fed Reserve Interest Rate hikes

  • Plunging oil prices

  • Etc., insert hyped latest news story

 

Call us with any concerns

 

Do not listen to the press – most often they do not know what the heck they are talking about

 

E.g.: I will debunk comments like this, which is totally false:

“Investors are also nervously watching a recession indicator in the bond market: the slope of the yield curve. The gap between the two-year and 10-year Treasury yield shrank this week to levels unseen since just before the Great Recession. An inversion -- where short-term rates are higher than long-term ones -- has been a reliable prognosticator of recessions in the past.” Matt Egan, CNN Business, December 7, 2018

 

 

  

 

 

 

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