Time to buy US stocks, says Coppock indicator

The Coppock indicator was developed in the 1960s to spot long-term buying opportunities. And for the first time in six years, it says buy US stocks.

"A widely watched indicator that has worked 16 out of 17 times in the postwar era has sent a buy signal," says David Wilson on Bloomberg.com. The Coppock indicator was developed by economist Edwin Coppock in the 1960s when the Episcopalian church asked him to develop a tool to spot long-term buying opportunities.

The indicator is based on the difference between an index's value at the end of a month and an average of its closes 11 and 14 months earlier. He had been told that mourning periods last 11-14 months and thought the shock of a bear phase was comparable to bereavement.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
MoneyWeek

MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.