Special Risk Capital Management LLC

Continuation (for now) January 4, 2020

January 3, 2020 – First off, I wish everyone a very Happy, Healthy and Prosperous New Year.

With a shortened and ultra low volume week, this posting will be short.  Overall, not much has changed.  The chart below shows that we remain in an upward trending price channel (purple lines).  Money Flow is showing some signs of weakness, though that’s preliminary.  All other indicators remain strongly positive.

One item that caught my attention was the significant volume increase on Thursday and Friday last week.  The activity significantly above a regular trading day (the red line is +30% above average volume). . . unusual for a holiday period.  Perhaps early signs of investment shift in the new (tax) year?  Not to get ahead of ourselves, but something to watch closely next week . . .  rotation, either by sector our to cash.  (click on chart to enlarge)

The sector strength table is below.  Again, little changed, Oil, Technology and China remain strongest for now.

Have a good week and keep an eye on volume confirming price (direction).  That will be a pre-cursor to strength or weakness.       …………  Tom  ………

Price chart by MetaStock; pie chart & table by http://www.HighGrowthStock.com. Used with permission.