DIN Newsletter for October 13, 2017

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Stock Of The Day: Buy or Sell?

News Corporation (NWS) is a Sell

Chart for NWS

Risk levels may be somewhat higher than normal and additional caution is warranted.


CHARTS OF THE DAY

ProShares Ultra MSCI EAFE [EFO]

Chart for EFO

EFO share price is $126.97, which is 3% above its 21-day moving average of $123.80.

EFO share price is $126.97, which is 5% above its 50-day moving average of $120.81.

EFO share price is $126.97, which is 23% above its 200-day moving average of $102.81.


Emergent BioSolutions, Inc. [EBS]

Chart for EBS

EBS share price is $39.88, which is 1% above its 21-day moving average of $39.41.

EBS share price is $39.88, which is 6% above its 50-day moving average of $37.48.

EBS share price is $39.88, which is 21% above its 200-day moving average of $32.88.


Akorn, Inc. [AKRX]

Chart for AKRX

AKRX share price is $33.16, which is 0% above its 21-day moving average of $33.03.

AKRX share price is $33.16, which is 1% above its 50-day moving average of $32.99.

AKRX share price is $33.16, which is 13% above its 200-day moving average of $29.27.



Economic Indicators

Total Market Cap / GDP

Chart for Total Market Cap / GDP

The ratio of the Total Market Capitalization (Wilshire 5000) to United States GDP is 1.3582. This is 52.7% above the historic median figure of 0.89.

The higher the Market Cap/GDP figure is relative to its median level, the higher the perceived risk in the market. Markets can remain overvalued for extended time periods.


S&P Earnings Growth

Chart for S&P Earnings Growth

The S&P Earnings Growth is 16.02. This is 58.2% above the historic median figure of 10.13.

When the S&P Earnings Growth trends higher, the stock market is perceived to have lower risk.


Sentiment

VIX

Chart for VIX

The VIX figure is 9.91. This is 37% below the historic median figure of 15.74.

The CBOE Volatility Index® (VIX®) is a key measure of market expectations of near-term volatility conveyed by S&P 500 stock index option prices. Historically, VIX levels above 50 correlate closely with periods of stock market panic while VIX levels below 20 are more typical during relatively calm periods in the market.