AA Super Saver: New Fund Recommendations for 4/16/05

Sat Apr 16 11:33:39 EDT 2005

Dear American Airlines Colleague,  

If you're not taking advantage of the free  <http://www.401kmaximizer.com/>
401k Maximizer  service you should be!   Our market analysis predicted the
current sell off at the end of last month and has protected subscribers who
followed the caution from major loses.  On March 23 we told subscribers:
“As most folks are aware, the Federal Reserve raised interest rates again
this past week by ¼%.  Meanwhile oil prices continue to persist in the $50
plus per barrel range.  The stock market reacted to both of these events by
trading down fairly hard over the past week and a half.  The market tends to
look 6 – 9 months ahead in the economy and is a fairly accurate forecasting
tool of where the economy is headed on that economic horizon.  Current
market action is not painting a real rosy picture for the economy towards
the end of the year.  It maybe that the Federal Reserve will have to cease
its interest rate increases sooner than most economist think if the fuel
prices stay above $50 per barrel as the effects of higher interest rates and
fuel prices combine to slow the economic expansion. 

All of the internal breadth measures of the major market indexes have turned
decidedly bearish in the past week and a half.  We study several other
measures of market strength and weakness that we do not publish in this
report due to space limitations but I will briefly discuss them to give you
a better perspective of the current market risk profile.  

One very powerful measure of the markets strength is to analyze the Fidelity
Select funds.   There are 41 different Select funds which invest in specific
segments of the market or market industries.  These are extremely well
managed funds representative of all of the major areas in our economy.
They are not available to us with Super Saver, but can be used to gain a
clearer perspective of market strength.  Our research has shown that when
the number of these funds out performing their moving averages is increasing
day to day then the overall stock market is bullish.  Whereas, when the
number of these funds under performing their moving averages is increasing
daily then the stock market as a whole will continue lower.  Currently, over
half of these funds are under performing both cash and their moving averages
which is not bullish for the market.  

Another tool which can give us a better understanding of the market is the
Advance/Decline line of each major index.  The Advance/Decline line measures
the number of stocks advancing each day versus the number of stocks
declining each day.  In the last week and a half, both the Advance/Decline
lines of the NYSE and the AMEX have plunged below their 30 day moving
averages joining the NASDAQ Composite which has been in a similar condition
since mid-February.  This is a fairly rare occurrence when all three indexes
give the same signal and does not bode well for the strength of the market
going forward”.  

401k Maximizer shows you which funds to buy each month in your $uper $aver
401K in order to maximize your returns. 
Click below to  <http://www.401kmaximizer.com/register.php> register.  You
will receive a password by email.  And you will then be able to enter the
web site to see the new recommendations.   

Scott R. Gibson
Scott R. Gibson, COO, RIA          
 This free service is provided by 
401k Maximixer, LLC
 <http://www.401kmaximizer.com/> http://www.401kmaximizer.com/
425 Sherwood Forest Drive
Delray Beach, FL 33445
Boca Raton, FL 33445
If for any reason you prefer to not receive this free information, send a
reply message with the subject line: unsubscribe. 

Gary H. Elsner
Gary H. Elsner, Ph.D.,CEO
Analytic Financial Solutions, Inc.
401k Maximizer, Inc.
Email:  <mailto:GElsner at 401kMaximizer.com> GElsner at 401kMaximizer.com
Web:  <http://www.401kmaximizer.com/> http://www.401kmaximizer.com/
Web: http://www.analyticfinancialsolutions.com/
Voice: 1-800-336-7224
425 Sherwood Forest Drive
Delray Beach, FL 33445

-------------- next part --------------
An HTML attachment was scrubbed...
URL: http://lists.401kmaximizer.com/pipermail/401k/attachments/20050416/f5d32336/attachment.html