Our weekly newsletter is now available. If you care to receive a copy, please e-mail me at wgmurphyjr@gmail.com or post a comment on the blog (with an e-mail address) requesting a copy.

The newsletter includes comments on stocks, bonds (and yields), the US dollar, and commodities. Below is the newsletter's Plain English summary for stocks:

Last week’s rally was a solid performance. Twenty-three of the 24 S&P 500 industry groups advanced and the index itself gained 6.2%. The index is now on a three-week winning streak (the longest since last August) and the 19.4% gain over those three weeks is the strongest since 1938. Short term momentum has effectively confirmed the rally, and intermediate indicators have improved every week. While this “good overbought” condition suggests that higher highs are likely in coming weeks, the Elliott Wave structure of the advance is increasingly corrective (counter-trend) in nature. This, plus the fact that short term momentum is positioned to assume a bearish bias during the coming week, suggests that a potentially deep “B” wave decline could be close at hand.