It is important to have situational awareness in battle; and investing is certainly a battle these days.  From situational awareness, you can attempt adaptive response, which in battle and in this market may be a key to survival.

Let’s look at three key equity funds and three key bond funds representing three key segments of the investment world — the US, non-US developed markets and emerging markets.

This table (as of mid-day June 3, 2009) shows whether the primary trend of the price (as represented by the 200-day exponential moving average) is UP or DOWN over 50-days and over 5-days.  It also shows the distance of four moving average prices (100-days, 50-days, 25-days and 1-day [the price]) from the primary trend.  Positions more than 1% above the primary trend are shaded green.  Those between 1% below and 1% above the primary trend are shaded yellow.  Those more than 1% below the primary trend are shaded red.

click image to enlarge

Different investors will interpret opportunity and risk differently from these data, but however you interpret them, it’s good to know them.

Richard Shaw
QVM Group LLC

This entry was posted on Wednesday, June 3rd, 2009 at 2:13 pm and is filed under Market Conditions. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.