[su_heading style=”modern-2-dark” size=”20″] Market Update [/su_heading]
The Greece news remains front and center as stocks are trying to bounce today after Monday’s very steep sell off. The bounce does not look “strong” which is not ideal for the bulls. In the short term, the bulls are trying to defend the 200 DMA line for the Dow Industrials and the SP 500. If that level breaks (and yesterday’s low) then we expect this sell off to get worse. If not, it would be very healthy to see the indices bounce from here. Even with yesterday’s violent sell off the S&P 500 is still only -3.5% below its record high. That’s the “good” news. The “not-so-good” news is that there is a lot of technical damage emerging and a lot of areas are breaking down under neath the surface. The bulls need to step in real soon otherwise we may very likely see a nice double digit correction (which is way overdue).
Month & Quarter Review:
For the month, the Dow Industrials, Transports, S&P 500 and Nasdaq composite are on track to fall while the small-cap Russell 2000 is on track to end with a small gain. For the quarter, the Russell 2000 and the Nasdaq composite are on track to register a small gain while the S&P 500 is hovering around the flat line and the Dow Industrials is down for the quarter and year. Needless to say it is a tough year for the major indices and most growth stocks. We want to see how the market reacts to the news over the next few days and will revisit later in the week. So far, our stops are set and as always, we will let the market guide us.
[su_heading style=”modern-2-dark” size=”20″] Portfolio Update [/su_heading]
Thankfully, the FLS portfolio continues acting well and here is a snapshot as of 3:16pm EST:
[su_heading style=”modern-1-dark” size=”18″] Positions [/su_heading]
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The service owns: TSLA +31.59%, NFLX +14.21%, XLF -1.77%, HACK +3.45%, DPZ +1.97%, MTH +1.97% AMZN -1.04%
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The service will exit: TSLA @ 245.77, NFLX @ 611.67, XLF @24.03, HACK @ 30.47, DPZ @ 111.14, MTH @ 46.05, AMZN @414.55
[su_heading style=”modern-1-dark” size=”18″] Working Buy Orders [/su_heading]
There are no new buy orders today. Sometimes, knowing when not to buy is just as important as knowing when to buy. Patience is paramount in this business.
