A little Fear Based Irrational Selling Today
MY views are out there in terms of how the overall markets come out of the 4150 to 4662 SPX consolidation phase. We are committed to a belief that the breakout out of this range will be to the upside and our arguments are out there. After Thursday and Friday’s rout within the SPX range the internal parameters have been adjusted and I have cut my leverage back, but core position remains. Today the market is focusing on fears of tomorrow’s earning’s number. The classic trade for me is to fade the first breakout of a consolidation, so maybe we can get a 4080 print on SPX tomorrow.
Fang Index Chart is hovering on important August 2020 target area..
This chart updated at 10:15 AM CDT today.
Mid-day update @ 11:45 AM CDT:
Neglected to mention I am still holding the long TLT Bond ETF position that I put on last week.
And just in the past 10 minutes have added SOXL, a 3X semiconductor ETF, trading at 23.28, as my focus continues to be toward practical climate change tech components.
Here is it’s chart, you will see among other things, it is down to February 2020 levels which is actually above August 2020 levels.