If you googled the definition of “neutral stock market”, a great answer would be a picture of the chart below. The Dow Jones Industrial Average closed on June 7, 2011, at 12,070.81. Last Friday’s close left the Dow at 12,075.99, a mere 5 point difference over the course of an entire year.
It’s tough to make money in flat markets, and it can be frustrating when our indicators give enough mixed signals to prevent us from taking a solid bullish or bearish stance. But our methodology has been painstakingly developed over years of studying investment research. And our philosophy centers around making objective investment decisions and managing risk. Reality is that being right can sometimes be boring when markets fail to make decisive moves in one direction or another.
From a price to earnings standpoint, stocks appear to be reasonably valued, but not dirt cheap, as indicated by the chart below. Our current stance remains neutral towards stocks. – Stacey Wall
If you haven’t heard about our new S&P 500 Directional Strategy or the Pinnacle Trust National Tax Asset Fund, you should. Email us today at info@pinntrust.com or call us at 601-957-0323.
