Optimism Bolsters Indexes Above Key Support

by on December 1, 2012 | ETFs Mentioned:

Looming worries over Europe’s debt burden coupled with “fiscal cliff” woes at home encouraged another week of choppy trading, although optimism ultimately prevailed and major equity benchmarks held onto gains as Friday’s closing bell rang. Investors’ confidence improved after the latest U.S. GDP reading came in at 2.7%, marking a healthy increase from the previous growth rate of 2.0%. From a technical perspective, the Dow Jones Industrial Average (DIA, A) and Nasdaq (QQQ, B+) both managed to settle just barely above their respective 200-day moving average, with the S&P 500 (SPY, A) leading the way higher [see Free 7 Simple & Cheap All-ETF Model Portfolios].

Actionable ETF Trade Ideas

Last Week’s Actionable ETF Ideas
Ticker Position Week Performance
XLU

Long

+3.9%
ECH

Long

+0.6%
DBB

Long

+3.9%

Our picks from Monday’s Insider posted positive performance results as profit-taking pressures cooled off and bargain buyers swooped in on Wall Street throughout the entire week. Below, we highlight how our trade ideas fared during the week [sign up for a free trial of ETFdb Pro to get actionable ETF ideas every Monday, as well as access to more than 45 all-ETF model portfolios].

Trade #1 Long XLU: Up 3.9%

After enduring a nasty sell-off, XLU managed to hold its head above key support and rebound higher as expected. This ETF inched higher from the opening bell on Monday morning throughout the entire week, although the most impressive gains came on Friday; XLU surged over 1% on the final day of the week, backed by above-average trading volumes, showcasing the sheer interest in this beat-down security.

Trade #2 Long ECH: Up 0.6%

This recommendation got off to a shaky start as selling pressures kept shares below the $60 level during the first two days. This trade turned even more worrisome on Wednesday after shares slid all the way down to our stop-loss at $59 a share, although they didn’t trade a penny lower, and thus we held onto our position. ECH rebounded higher on Thursday and drifted sideways on Friday, ultimately leaving us with a minimal gain on the week.

Trade #3 Long DBB: Up 3.9%

This ETF was able to resume its uptrend as shares bounced off support early in the week as anticipated. DBB drifted sideways Monday through Thursday, although the fact that it held its gap higher from last week was quite encouraging to see. This recommendation took of on Thursday as positive U.S. GDP growth revitalized demand for industrial metals. DBB extended its gains into Friday, posting a stellar run-up for the week and leaving us with a healthy profit.

ETFdb Portfolios

Retirement ETFdb Portfolios

Our retirement portfolios all settled in green territory for the week; the best performing strategy was the 30 Years Til Retirement while the worst performing one was our bond-heavy Ready To Retire Portfolio.

ETFdb Portfolio 1 Week 4 Week 13 Week YTD 1 Year 3 Year 5 Year
5 Years Til Retirement Portfolio -1.68% -1.58% 1.91% 4.05% 9.94% 31.44% n/a
10 Years Til Retirement Portfolio -2.00% -1.72% 2.47% 4.94% 11.98% 33.87% 80.82%
20 Years Til Retirement Portfolio -2.38% -2.23% 2.79% 5.59% 13.47% 38.01% 92.58%
30 Years Til Retirement Portfolio -2.53% -2.47% 2.99% 5.33% 14.32% 40.41% 100.94%
Aggressive Portfolio -2.61% -2.57% 2.89% 4.61% 12.64% 26.79% n/a
Cheapskate Portfolio -0.31% 0.71% 4.51% 7.80% 15.17% n/a n/a
Low Volatility Portfolio -1.17% -0.75% 1.66% 3.97% 7.10% n/a n/a
Moderate Portfolio -1.74% -1.60% 2.06% 4.72% 10.40% 27.24% n/a
Ready To Retire ETFdb Portfolio -1.23% -0.68% 1.86% 4.97% 8.26% 23.42% 59.84%
As Of 07-31-2014
Regional ETFdb Portfolios

From our regional lineup, the Global Titans Portfolio led the way higher while the Africa-Centric Portfolio was the only one to settle in red territory for the week.

ETFdb Portfolio 1 Week 4 Week 13 Week YTD 1 Year 3 Year 5 Year
Africa-Centric Portfolio -1.17% 0.91% 1.40% 8.78% 19.30% 18.06% n/a
Asia-Centric ETFdb Portfolio -0.89% -0.17% 6.75% 6.48% 13.33% 8.88% n/a
BRIC-or-Bust ETFdb Portfolio -3.01% -3.36% 7.01% 3.76% 11.86% -14.35% n/a
Easy-As-ABC ETFdb Portfolio -1.73% -1.44% 2.49% 3.10% -1.20% n/a n/a
Emerging & Frontier Markets ETFdb Portfolio -2.06% -0.67% 4.85% 6.60% 10.03% 0.80% n/a
Euro Free Europe Portfolio -3.21% -5.12% -1.34% -2.66% 5.70% 12.75% n/a
Ex-Europe ETFdb Portfolio -1.60% -0.74% 3.11% 6.05% 11.71% 26.31% 66.84%
Ex-U.S. Portfolio -1.62% -1.53% 2.75% 4.48% 13.34% 15.02% 47.04%
Global Titans ETFdb Portfolio -1.84% -2.35% 0.39% 2.22% 10.50% 25.51% n/a
LatAm Centric ETFdb Portfolio -1.84% -1.02% 4.79% 2.30% 3.42% n/a n/a
As Of 07-31-2014
Themed ETFdb Portfolios

Nearly every one of our themed strategies performed well as investors increased their risk appetite. Our RAFI Portfolio led the group followed closely by the High Tech Portfolio, while the GLD-Free Gold Bug Portfolio posted the worst performance on the week.

ETFdb Portfolio 1 Week 4 Week 13 Week YTD 1 Year 3 Year 5 Year
Actively-Managed ETF Portfolio -1.53% -0.70% 2.63% 3.16% 7.02% n/a n/a
2012 ETFdb Portfolio -2.76% -3.46% 3.23% 5.53% 15.06% n/a n/a
AlphaDEX ETFdb Portfolio -2.35% -2.79% 1.89% 2.90% 10.94% 21.25% n/a
Alpha Seeker Portfolio 2.0 -2.08% -1.85% 2.82% 5.12% 10.28% 29.00% n/a
Baby Boomers ETFdb Portfolio -1.93% -3.25% 4.52% 6.50% 19.89% 72.37% n/a
Ben Graham 50/50 Portfolio -1.35% -0.54% 2.58% 5.11% 8.93% n/a n/a
Better-Than-AGG Total Bond Market ETFdb Portfolio -0.67% -0.13% 1.01% 4.21% 4.65% 9.05% n/a
Black Swan Hyperinflation Portfolio -1.51% -3.34% 0.34% 4.02% 2.43% -13.53% n/a
Commodity Guru ETFdb Portfolio -1.91% -2.49% -0.02% 2.57% 6.08% -3.26% n/a
Cheapskate Hedge Fund ETFdb Portfolio -0.53% -0.27% 1.32% 1.82% 2.32% -3.09% n/a
Energy Bull ETFdb Portfolio -3.05% -3.96% 0.79% 5.17% 12.98% 15.35% n/a
Equal Weight ETFdb Portfolio -1.34% -1.30% 2.85% 4.94% 10.29% n/a n/a
Financials Free ETFdb Portfolio -1.81% -1.93% 0.51% 5.40% 13.10% 31.56% 76.49%
Futures Free Commodity ETFdb Portfolio -2.17% -2.65% 1.03% 2.94% 6.44% -18.87% n/a
GLD-Free Gold Bug ETFdb Portfolio -0.87% -3.31% 5.06% 17.65% 1.86% -34.02% n/a
Greedy When Others Are Fearful ETFdb Portfolio -0.32% 1.50% 4.00% 8.26% n/a n/a n/a
High-Tax Bracket ETF Portfolio -1.76% -1.76% 1.91% 4.39% 10.82% 26.11% 66.72%
High Tech ETFdb Portfolio -0.81% -0.56% 9.54% 10.40% 22.92% n/a n/a
High Yield ETFdb Portfolio -2.12% -2.02% 1.64% 5.37% 11.34% 39.47% 90.64%
King Dollar ETFdb Portfolio -1.07% -0.36% 2.65% 4.30% 8.03% 21.79% n/a
Kitchen Sink ETFdb Portfolio -1.90% -2.66% 0.74% 2.71% 8.53% 22.28% n/a
Monthly Dividend ETFdb Portfolio -1.42% -1.49% 1.73% 6.31% 10.86% 34.26% n/a
Pure Growth ETFdb Portfolio -2.37% -3.02% 2.89% 3.85% 11.47% n/a n/a
Pure Value ETFdb Portfolio -2.17% -2.91% 1.79% 4.66% 14.53% n/a n/a
RAFI ETFdb Portfolio -2.73% -3.34% 2.48% 3.47% 15.22% 34.50% 87.18%
Simple (But Effective) Safe Haven ETFdb Portfolio -2.23% -2.91% -1.02% 5.37% 7.17% 17.80% 60.00%
Small Cap ETFdb Portfolio -2.27% -3.85% 1.22% 2.61% 10.17% 25.93% n/a
The Sky Is Falling Portfolio 0.39% 0.38% -1.66% 0.69% -0.96% 0.77% n/a
Socially Responsible ETFdb Portfolio -1.22% -1.36% 2.85% 4.05% 9.83% n/a n/a
Risk On ETFdb Portfolio -2.74% -1.84% 5.01% 8.21% 16.24% n/a n/a
Consumer Centric ETFdb Portfolio -1.11% -0.83% 2.03% 3.29% 11.28% n/a n/a
Agri-Bull ETFdb Portfolio -2.16% -4.43% -3.89% 2.57% 8.10% 4.84% n/a
8% Yield ETFdb Portfolio -1.80% -1.53% 2.38% 7.07% 12.82% n/a n/a
Mining Boom ETFdb Portfolio -0.90% -0.48% 7.51% 11.16% 10.59% n/a n/a
2013 ETFdb Portfolio -2.78% -2.94% 0.70% 5.10% 10.27% n/a n/a
As Of 07-31-2014

Disclosure: No positions at time of writing.