Sell Short Lockheed Martin And Merck

Here are some facts about DJIA activity in May:

• From 1885 to the present:
• In all months of May: up 55.6% (135)
• In years ending in one: 38.5% (13)
• In post-election years: 54.5% (33)
• In both one and post-election years: 33.3% (6)

The cycles are rising into May 6^th, but some cycles are weakening. The S&P 500 is likely to hold up into the 6^th, but the market will be lower by the end of May.

The Lockheed Martin
LMT
daily cycle hits a peak on the 6^th, and bottoms on May 30^th. Seven of eight sell signals have made money in the last year. The monthly cycle also points down through May. The downside objective is $350.

Chart 1:  LMT Daily Cycle

Chart 2:  LMT Daily Graph 

The daily Merck
MRK
cycle hits a high and has been correct in all eight of nine cases in the last year. The cycle bottoms on May 16^th. The $71 area or lower is a reasonable objective.

Chart 3: -MRK Daily Cycle

Chart 4: – Daily Graph