POSITION: Long Consumption (XLY, SBUX, ADM), Short Commodities (XME, XLE, CAT)
I was more confident buying red on Thursday-Friday (1% correction in the SP500 from the latest Bernanke lower-high) than I ordinarily would be because: A) TRADE support held and B) our Macro Research call was getting confirming data of global #GrowthStabilizing.
Across our core durations, here are the lines that matter to me most:
- Immediate-term TRADE resistance = 1431
- Intermediate-term TREND support = 1419
- Immediate-term TRADE support = 1408
In other words, there’s a load of support developing in the 1 range, and with short interest as high as it’s been since early SEP, I think the Pain Trade has gone from down to up.
I even bought AAPL on red ($502.50) today, for a trade. Fun.
Keith R. McCullough
Chief Executive Officer