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New all-time highs

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For the first time since 1999 both the S&P 500 and the Nasdaq closed at new all-time highs. It wasn't a huge day, and the indices closed off their highs, but it's been 16 years since we saw that happen. The Dow gained 20-points, well off the 95-point gain it had less than an hour before the close. Investors still seem to be worried about "buying at the top."

The Nasdaq closed off the highs as well but after hours earnings boosted the futures to another new high.

(Nasdaq 100 futures 5-minute chart)


Daily TSP Funds Return

There was green across the board in the TSP funds with each posting modest gains.


The S&P 500 (C-fund) broke out and did close at a new all-time high. It pulled back late but the key for me is having close above that resistance line. The bulls would like to see that resistance, once broken, act as support otherwise it's a failure. So far so good here.


Chart provided courtesy of www.stockcharts.com, analysis by TSP Talk


The Wilshire 4500 (S-fund) also made a new high and the S-fund posted another record closing price. There's some resistance near 1130 but the rising trading channel's resistance is much higher. I guess we'll see how strong that dash line resistance is - probably today (Friday)


Chart provided courtesy of www.stockcharts.com
, analysis by TSP Talk


After 15+ years (March 2000) the Nasdaq finally made a new all-time high, and as I mentioned above, it's also the first time since 1999 that both the Nasdaq and S&P 500 made a new high on the same day. This is a nice looking formation - looks like a Cup and Handle, and if we get a textbook C&H to play out, the breakout should continue higher for a little while and then come back and test that old resistance line for support before resuming the upside. That would be textbook technical analysis but may not be what happens.



Chart provided courtesy of www.stockcharts.com
, analysis by TSP Talk


The EFA (EAFE Index / I-fund) put up a nice day and it is now close to testing the top of the wedge - something we have been watching with great concern since rising wedges tend to break down. But if can break above that resistance, and the dollar breaks below the 50-day EMA...


Chart provided courtesy of www.stockcharts.com, analysis by TSP Talk


... the I-fund could continue to be the leading fund for the TSP. We've seen two bear flags break down but both (so far) held at the 50-day EMA. Earlier this month it led to another push higher. So question is, will the 50-day EMA hold again this time?


Chart provided courtesy of www.stockcharts.com, analysis by TSP Talk


The AGG (bonds / F-fund) gave us the dead-cat bounce we talked about yesterday. But the rising trend has been broken so we need to proceed with caution in the F-fund until this chart improves.


Chart provided courtesy of www.stockcharts.com
, analysis by TSP Talk



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ead more in today's TSP Talk Plus Report. We post more charts, indicators and analysis, plus discuss the Sentiment Survey Results and the allocations of the TSP and ETF Systems. For more information on how to gain access and a list of the benefits of being a subscriber, please go to: www.tsptalk.com/plus.php
Thanks for reading! Have a great weekend!

Tom Crowley



Posted daily at www.tsptalk.com/comments.php

The legal stuff: This information is for educational purposes only! This is not advice or a recommendation. We do not give investment advice. Do not act on this data. Do not buy, sell or trade the funds mentioned herein based on this information. We may trade these funds differently than discussed above. We use additional methods and strategies to determine fund positions.

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S&P500 (C Fund) (delayed)

(Stockcharts.com Real-time)
DWCPF (S Fund) (delayed)

(Stockcharts.com Real-time)
EFA (I Fund) (delayed)

(Stockcharts.com Real-time)
BND (F Fund) (delayed)

(Stockcharts.com Real-time)

Yahoo Finance Realtime TSP Fund Tracking Index Quotes