The Interlude Continues……………..Update at 2:35 PM CDT
Selling pressure continues at this market consolidation area. The full moon tomorrow may mark the apex of it. Apprehension over earning announcements predominates. Our gut feel is that the laid off employees and inventory cuts rather than the corporations are bearing a significant part of this stage of the economic downturn. As such if there are going to be surprises they will be to the upside on the markets. We suspect that guidance for forward earnings by the CEO’s will set up the buying window on a lot of stocks, as they say in the movies “they have no clue of what is going to happen next”.
The money we freed up by exiting our short gold positions on Monday will be put in the triple leveraged small cap ETF TNA at some convenient level over the next few days. We will notify you when we pull the trigger.
The EMA ETF Fund Nav was 999 at yesterdays close.
8:11 AM CDT
Update….In our Aggressive Portfolio and EMA ETF Fund we just added the TNA ETF at 19.40, S&P was at 818.50 at the time. The Conservative Portfolio remains at 1.0 Leverage, ie fully invested. The other funds are running right at 1.85 leverage.