Stock Market Fact

                                   Last 10 years               Red line is the 1 year average

                      S&P 500 Index  -  month to month over 10 years

Notice the key cross point for stock market collapses

The 1 year average is the average price over the past 12 months. By viewing the chart with the month to month price instead of the day to day price will eliminate the zig zags that you always see on a chart. You can see a pattern form that shows the trend.

The stock market can not begin a long decline unless it goes below its 1 year average first and it can not begin a long upward climb until it goes above its 1 year average first.

It is a common sense approach to understanding the stock market trend when market timing mutual funds. The market is considered normal when it is above its average price over the past 12 months because this means the market as a whole is no longer dropping.

This is the actual chart of the S&P 500 Index. It is known as the leading indicator for the overall market by professional Investment Managers because it has 500 of the biggest and most established companies in every industry.

It is useless to buy stocks or mutual funds when the stock market is under its average price because it could be heading to a 1 year low.

For $15 

 1. You will receive the link to follow this on a daily basis.

 2. You will receive the correct asset allocations for your mutual funds.

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