Market Update:
Allow us to be clear, the major indices are in the process of topping out and barring some large unforeseen reversal to the upside – we are headed into a long overdue bear market for stocks (and possibly a global recession). A few of the major indices are now in correction territory (defined by a decline of 10% from a recent high) while several important sectors (transports, commodities, biotechs, just to name a few) are already in bear market territory. Thankfully, our defensive/cautious stance has been right on the money since last summer (for our newer members, we first turned cautious before the big crash in Aug 2015 and have been very selective since). We have received quite a few thank you emails because capital preservation is key in this choppy environment. The steep sell off we are experiencing this week on Wall Street may only be the beginning and a lot more downside will most likely follow. In the short term, the market is clearly deeply oversold and we wouldn’t be surprised to see a bounce of some sort. We will look to short that bounce in the near future.
Protect Your Portfolio
My Latest Forbes:
My Latest Forbes:
We talk to people every day who lost a fortune in the 2002 and 2008 bear markets. Earlier this week, I wrote this article for Forbes and want you to be protected so it doesn’t happen again. If you want help with your portfolio- send an email to: Info@SarhanCapital.com:
FLS Portfolio:
Right now the FLS portfolio is in cash and we will look to short strength on the next bounce. FLS sold AMZN yesterday for a nice +15.41% gain and was stopped out of MSFT today for a small loss of 4.74%. We have the always fun jobs report tomorrow and then we will have our full report for you this weekend. There are no new working orders today.
