Sell signal in equities from Morgan Stanley
Morgan Stanley on the weekend wrote about its market timing indicator:
"For only the fifth time in over 30 years, each of Morgan Stanley's five market timing indicators are giving a sell signal at the same time," they wrote "...in the 6M post the initial Full House Sell Signal, MSCI Europe has fallen on average 6%."
The last time we heard about this indicator was in early August. The S&P 500 rallied 7% over the next three weeks before giving it all back in the September swoon.
Also note that this indicator has been giving a sell signal for months.
