Keystone's Secular Signals Summary

As the new trading week begins, let's take a look at Keystone's six secular signals:

SPX Daily 150 MA Slope; Bullish, secular bull market ahead
SPX Weekly MACD Zero Line; Bullish, secular bull market ahead
NYA Weekly 40 MA Cross; Bullish, secular bull market ahead
UPS Weekly 20 and 50 MA Cross; Bearish, secular bear market ahead, but a switch to a Secular Bull market may occur at any time.
SPX Monthly 12 MA Cross, Bearish, secular bear market, but will switch to a Secular Bull on Tuesday unless the SPX falls under 1283.
SPX Monthly MACD Cross; Bearish, secular bear market ahead

So three signals forecast a secular bull market ahead and three signals forecast a secular bear market ahead.  But, upon closer inspection, for UPS, the 20-week MA is on the verge of popping up thru the 50-week MA which would change that secular call to bullish.  Also, the SPX is above the 12-month MA now and the month-end print on Tuesday will cast this in concrete changing this indicator to a secular bull.

Thus, as 2012 began, the secular bears were in firm control but as January plays out, the bears have steadily lost grasp of the situation.  This week is critical for UPS and the SPX 12-month MA cross. For now the secular signals are mixed and unable to commit to a firm secular direction moving forward but they will resolve and align in one direction or the other as the next few weeks play out.