In this morning’s edition of The Macro Show, Hedgeye CEO Keith McCullough answers a subscriber question regarding lumber's recent fall, and what it means within McCullough’s multi-duration model.

"Lumber is down -17.% week-over-week. 'Oh, so it’s Bearish TREND!' No, it’s up +34% over the last 3 months. Tell me, what in your portfolio is up +34% in the last 3 months?” explains McCullough, as he goes on to discuss managing your positions over the course of multiple durations.

“This is why I called it Hedgeye Risk Management. When you think about your returns, you do not want to take every daily and weekly move and call it a Trend.”

McCullough: Lumber’s Consolidation Is NOT Bearish Trend - etf pro