Market Update:
The Dow Jones Industrial Average and S&P 500 index turned positive for the year. Once again, the primary driver of this entire (and aging) bull market remains easy money from the Fed and other Central Banks. For all intents and purposes, the Fed adopted an easy money stance yesterday when they lowered their outlook for future rate hikes. Markets love EASY MONEY and once again Central Banks delivered. The action this year has been very wild and typically wild action this late in a bull market is not a healthy sign. The one big difference remains EASY MONEY. For now, markets continue to grind higher and that’s all that matters…for now. The USD has been soaring over the past 18-24 months on the notion that the Fed will begin raising rates before other central banks and that sent a slew of commodity/commodity sensitive areas of the market lower. That trade has reversed and we are now seeing several beaten down areas of the market soar as the greenback falls. In the short term, markets are very extended on the upside but we have to deal with what is actually happening. We are approaching the end of the month and of the quarter – which usually has a strong upward bias. This has been a very difficult quarter for most everyone on Wall Street. We are very thankful to have navigated it rather well. We wish we went all in four weeks ago but hindsight is always 20/20. If this bull market is going to continue there will be a lot of opportunity ahead of us. 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, 2:21pm EST,
A. The service owns: QQQ +8.24%
B. The service will exit: QQQ @ 103.21
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.
