Market Update:
We wanted to wait until the end of the day to write today’s note because markets are getting silly again (to put it nicely). Tuesday’s note was titled, Will The Market Finally Pullback? and the answer is yes, for now. The big financials are getting hammered today and this follows several important areas in the risk-on universe that are now in pullback mode. (The two areas that are acting well are biotechs and gold).
The most worrisome is Japan’s Nikkei -which has now given back more than half of it’s gain since the Feb 11th low. Oil prices are also in pullback mode and not acting well. This is the heaviest day of “selling” we have seen in a while and we have the sneaking suspicion this was one big bear market rally and we are headed lower. Of course, time and price will tell but for now, our defensive stance is paying off handsomely. We are hearing murder stories from both the bulls and the bears. Remember, time is our friend in these sloppy and choppy markets. The chart in Tuesday’s report is worth revisiting. This is the 5th lower high for the S&P 500 since last summer’s record high. We want to see where the market closes tomorrow and will have a full report for you this weekend.
FLS Portfolio
We recently raised our protective stop and are comfortable with our exposure.
As of this writing, 3:48 pm EST,
A. The service owns: QQQ +9.49%
B. The service will exit: QQQ @ 106.37
B. The service will exit: QQQ @ 106.37
Working Orders:
There are no new working orders today
Disclaimer:
This analysis contains information from resources believed to be reliable but are not guaranteed as to accuracy or wholeness as of the date of this publication. Past performance is not necessarily indicative of future results. There is always a risk of loss in trading and investing. Opinions articulated are subject to change without notice. This analysis and any opinions expressed are intended for educational purposes only and should NOT BE interpreted as a call for engagement in any transaction involving the purchase or sale of any security or investment product or service. The risk of loss in investing and or trading can be substantial, and traders/investors should carefully consider the inherent risks of such an investment in light of their financial condition. The author, firm, associates, or the firm’s clients may have a position in any of the investments mentioned and their positions are subject to change without notice. Any reproduction or retransmission of any portion of this report without the express written consent of Sarhan Capital is strictly prohibited.
