Fri 8/3/12. Daily Updates.

I was wrong to expect a bad jobs number (maybe that's why the Fed did even less jawboning than I pessimistically predicted), but the System doesn't care either way. T2 called for a long entry at SPX 1374 but once again SPX gapped up 20pts well beyond the entry point. Likewise, the System did not enter long. I picked an unfortunate time to start the new System since 20pt gaps are rare, but the System has been right to be generally bullish since 1345. Real-time discretionary spending continues to deteriorate over the last couple weeks. It called for a decent SPX bounce at the end of July and a significant top during the week of July 9th +/- 1 week or in the 2nd half of August. The latter looks to be unfolding, but once again the System doesn't care about that. The Trend Score is strongly bullish and the Turn Score is neutral. It could take 2-3 days before we get another setup and hopefully there won't be another huge gap to thwart it. Good luck.