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Where Do Things Go from Here???

April 19, 2019

Where Do Things Go from Here??? 

Not sure what to do if you are sitting in too much cash. Keep reading. It’s time to get that money working for you.

History would indicate that the S&P 500 should finish the year higher from where we finished this quarter. When the S&P 500 has gained at least 10% in the first quarter, it has continued to rise for the last nine months of the year 85% of the time. The median return for the last nine months of the year has been 7%.

Another favorable statistic is there have been three other periods with sharp quarterly declines (see the chart below) since the Great Recession. In each situation, the subsequent two quarters have produced a fantastic performance.

Another great sign is the S&P 500 just performed what is called in the financial industry “a golden cross” formation (see chart below). This is when the 50-day moving average crosses above the 200-day moving average. It is a sign of strong upward price movement in the index. Historically, the S&P 500’s gets an 8.89% average annual return when the 50-day moving average is above the 200-day moving average, dating back to November 19, 1929. Conversely, the S&P 500 loses 0.53% when it performs a “death cross,” when the 50 crosses below the 200-day moving average. This Golden Cross is a good sign for things to come.

So get out there! Get your money working harder for you. If you’d like to have a free evaluation of your portfolio or a complimentary financial plan, please feel free to contact us at info@polarisgreystone.com.

Good luck with your investments. If you have any questions, please don’t hesitate to call or write.

 

 

  

 

   Sincerely,
   Jeffrey J. Powell
   Managing Partner, Chief Investment Officer

 

 

 

Polaris Greystone Financial Group, LLC is a federally registered investment adviser. The information, statements and opinions expressed in this material are provided for general information only, are based on data we believe to be accurate at the time of writing, and are subject to change without notice. This material does not take into account your particular investment objectives, financial situation or needs, is not intended as a recommendation to purchase or sell any security, and is not intended as individual or specific advice. Investing involves risk and possible loss of principal capital. Diversification does not ensure a profit or protect against a loss. Past performance is not indicative of future returns. Advisory services are only offered to clients or prospective clients where Polaris Greystone Financial Group, LLC and its representatives are properly licensed or exempt from licensure. No advice may be rendered by Polaris Greystone Financial Group, LLC unless a client service agreement is in place.

 

Categories: Polaris Greystone Financial Group, LLC.

Tags: Disciplined Approach, Disciplined Investing, Economic Data, Economic Indicators, Index, Investing, Investments, Market, Market Outlook, market performance, Market Sentiment, Markets, S&P 500