TSP Talk Weekly Wrap Up

Stocks started last week with a small loss on Monday, but by Tuesday the bulls were back in business. There was a 2-day FOMC meeting on Tuesday and Wednesday and the Fed didn’t say anything to upset investors. That opened the door for buyers to take charge into the end of the week.

Here are the weekly, final monthly for October, and annual TSP fund returns for the week ending October 31:

The S-fund led the way in October with a 4.11% gain, and the I-fund lagged with a small loss. The C-fund still leads the TSP funds in 2014 with a 11.06% gain, while the F-fund (bonds) is hanging onto the #2 spot.

The SPY (S&P 500 / C-fund) has risen relentlessly since the October 15 lows with two gaps opening and an angle of incline that usually doesn’t last this long. The bulls are in charge but they will have to deal with some overhead resistance this coming week, and look for that gap near 200 to get filled this week.

The small caps of the Russell 2000 have been on fire since the October lows and on Friday it easily took out what looked like could have been an area of strong resistance near 1160.

Here’s some information from sentimentrader.com regarding October action in the S&P 500, and how it played out in November and December during similar situations in prior years.

The AGG (Bonds / F-fund) remains in a slow downtrend since peaking on October 15th, which is turned out to be a significant turning point for stocks and bonds.

Good luck and thanks for reading! We will be back here next week with another TSP Wrap Up. You can read our daily market commentary at http://www.tsptalk.com/comments.php. If you need some help deciding what to do with your account, perhaps one of our premium services can help.

Tom Crowley
www.tsptalk.com
Weekly Wrap-Ups Archive
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The legal stuff: This information is for educational purposes only! This is not advice or are commendation. 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.