PlanYourTrade > TradeYourPlan
- Jun 18, 2004
I'm surprised we haven't got an S&P 500 thread here already, hope I didn't miss it. Thought I'd kick it off. Will post some charts and info soon.
Great Idea Rich, as it is the SP500 that is the "real man's" index, not that Dow rubbish the medja muppets harp on with. :I'm surprised we haven't got an S&P 500 thread here already, hope I didn't miss it. Thought I'd kick it off. Will post some charts and info soon.
hehehe, yeah, it's the real thing alright! The Dow might have been the bellwether when there a were a handful of stocks but that is no longer the case, from what I understand it's still price weighted as well, unlike the S&P.Great Idea Rich, as it is the SP500 that is the "real man's" index, not that Dow rubbish the medja muppets harp on with. :
Seriously, nothing wrong with trading the Dow, but I reckon it's the SP500 that should be the index analyzed as the broad measure of the US market.
A proxy that can be used is => (SPY:AMEX) the sp500 ETF, for those who don't have SPX data.
This is a long term log chart in relation to the Dow (the S&P is the upper line in black):Bloomberg-
Standard and Poor's 500 Index is a capitalization-weighted index of 500 stocks. The index is designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The index was developed with a base level of 10 for the 1941- 43 base period. See SPY US Equity for the tradeable equivalent.
Standard & Poor's-
Widely regarded as the best single gauge of the U.S. equities market, this world-renowned index includes 500 leading companies in leading industries of the U.S. economy. S&P 500 is a core component of the U.S. indices that could be used as building blocks for portfolio construction. It is also the U.S. component of S&P Global 1200.
Index constituents exhibit the following characteristics:
* Market Coverage – Approximately 75% of the U.S. equities market
* Weighting – Market capitalization
* Market Capitalization – Minimum of US$ 5 billion
* Public Float – At least 50%
* Reconstitution – As needed basis
With more than US$ 1.53 trillion in indexed assets, the S&P U.S. indices have earned a reputation for being not only leading market indicators, but also investable portfolios designed for cost efficient replication or the creation of index-linked products. The history of the S&P 500 dates back to 1923, with an expansion to include 500 companies in 1957.
Index Governance and Policy
This index is maintained by the S&P Index Committee, whose members include Standard & Poor's economists and index analysts. It follows a set of published guidelines and policies that provide the transparent methodologies used to maintain the index.
Follow this link for a list of market constituents and other data including volatility data: http://www2.standardandpoors.com/po...ices_500/2,3,2,2,0,0,0,0,0,0,0,0,0,0,0,0.html
Haha! wish I knew! Still trying to get a feel for my prey.....then will mark up some charts...since this is where the big boys hunt this little predator is likely to end up being gobbled up so I need to prepare as best I can. Who knows, it may even be a market that doesn't suit me.So, what's the go RK? Calling a bottom???
Thanks for that tree frog. That confirms my contention that the market is veeeeery expensive, even still. Without the prospect of strong earnings growth, this market is overvalued by what, say 30 -50%?recent from carl swenlin
"The following chart helps put current events into an historical perspective, showing the earnings crash that accompanied the last bear market, as well as the current earings decline. I don't know how anyone could be optimistic about this picture.
Anyone care to speculate on whether or not i can speculate on this?I want to use the S&P 500 index and look for monthly and weekly pivot opportunities, but actually trade the SPY or the SPDR S&P 500 index ETF. The reason i want to do this is leverage, or lack of. The ES mini is really too rich for my blood at this stage.
Can anyone think of any reason that i could not effectively trade this in this way? I've not traded ETF's before. The SPY is long and short.
If above works itell oot... then 3 is the big one ???Haven't bothered... yet... looking at the bigger pitcher, but the dailies look to be showing an A=C 50% correction... or not??