POSITION: 6 LONGS, 4 SHORTS
Overbought, but a very bullish overbought at that!
Today’s new all-time high is sponsored by confirming evidence that both employment #GrowthAccelerating (best jobless claims print since 2007) and #RatesRising can drive both the US Dollar and US Stocks higher.
Sell Gold and Treasuries yet? They are being appropriately tapered. That’s not new as of today – that’s the TREND.
Across our core risk management durations, here are the lines that matter to me most:
- Immediate-term TRADE resistance = 1705
- Immediate-term TRADE support = 1690
- Intermediate-term TREND support = 1621
In other words, everyone and their brother will be waiting for the next “correction”, but now almost everyone has to chase.
I’m not a fan of chasing, but I’m not a fan of the end of the world trade either. Stay with what’s been working - long growth as #GrowthSlowing expectations continue to be misplaced.
Keith R. McCullough
Chief Executive Officer