POSITION: Long Consumer (XLP, IGT, ADM), Short Commodities (XLE, OIL, CLB)
Bullish is as bullish does, and this market continues to hold all 3 durations of support (TRADE, TREND, and TAIL). Buying stocks at VIX 17-18 has worked for the last few months too (sell at VIX 14-15).
Across our core durations, here are the lines that matter to me most:
- Immediate-term TRADE overbought = 1449
- Immediate-term TRADE support = 1429
- Intermediate-term TREND support = 1419
In other words, the refreshed immediate-term risk range = 1, and there’s more upside than downside from here (there was more downside than upside from yesterday’s highs).
Keep making high probability gross and net exposure decisions – and keep moving.
Keith R. McCullough
Chief Executive Officer