Market Timing
with OBOSS

OBOSS indicates the market is at historic over sold levels. Look for buying opportunities to take advantage of the up coming bounce.  If you’re scaling in, get aggressive on any sharp move lower.  If you’ve been patiently waiting, this is a good time to start buying over sold stocks on your shopping list.

The S&P 500 is only down a little over 8%, but we are seeing selling pressure as heavy as in the financial crisis of 2008.  If the world isn’t ending, this week’s pull back should prove be a great buying opportunity.

OBOSS indicates the market is historic over sold levels. Look for buying opportunities to take advantage of the up coming bounce.  If you’ve been patiently waiting, this is a good time to start buying over sold stocks on your shopping list.

OBOSS is holding in extreme over sold territory.

We are looking for buying opportunities during heavy selling.  Keep an eye out for a major sell off which could indicate capitulation on the part of the sellers.

OBOSS levels lower then -2.5 is a very good indication of an impending bounce / snap back rally.   If you’re waiting on the side lines, this is a good time to use your shopping list and consider purchases.  If you’re scaling in, consider getting aggressive.  NOTE: Scaling into the market is considered a high risk trade.

OBOSS is dipping further into extreme over sold levels.  OBOSS levels lower then -2.5 is a very good indication of an impending bounce / snap back rally.   If you’re waiting on the side lines, this is a good time to use your shopping list and consider purchases.  If you’re scaling in, consider getting aggressive.  NOTE: Scaling into the market is considered a high risk trade.

OBOSS moved into extreme “over sold” territory.

We are looking for buying opportunities in high quality stocks as their prices get discounted.  If you’ve been on the side lines waiting for an opportunity to enter the market, this is a good area to consider getting some exposure to equities as they fall.

There is still room to the downside so scale in slowly.  Whenever OBOSS gets this extreme we expect a snap back rally in the near future.

OBOSS is close to entering extreme over sold levels. We saw a lot of back and forth price action this week.  The market appears to be building support at current levels, but normally when OBOSS gets this over sold we do see a close in extreme territory before a major rally.  We are viewing any major decline from current levels as a buying opportunity.

There is still plenty of room for the market to move lower.  OBOSS doesn’t normally get readings lower then -2.5, but in the recent decline in August 2011 it did hit  -3.5 for one day before a snap back rally started.  Keep that in mind as you scale into high quality stocks on any move lower.

OBOSS recovered slightly from yesterday, but we should still be alert for buying opportunities as the market continues to be over sold.

OBOSS is over sold.  There is still plenty of room for the market to move lower.  OBOSS doesn’t normally get readings lower then -2.5, but in the recent decline in August 2011 it did hit  -3.5 for one day before a snap back rally started.  If you’re scaling in, this is a high risk trade and you must leave yourself lots of buying power as the market moves lower.

OBOSS indicates that the market is entering over sold territory.  During the trading day OBOSS dipped into over sold territory and recovered to it’s current level of -1.55.  We sent out a mid day alert letting everyone know there was a potential buying opportunity for high quality stocks.  Considering the market consolidation may continue, keep on the look out for additional buying opportunities where you can slowly scale into positions whenever the market sells off.

In other words, “buy the dips”.

Watch for OBOSS to get over sold on a closing basis (anything less then -2.0).  There is still plenty of room to the downside so risk management is priority #1