This note was originally published November 01, 2013 at 11:56 in Macro
POSITION: 8 LONGS, 6 SHORTS @Hedgeye
I’m buying Gold and Treasuries for the first time in a year (today) as the S&P 500 signals lower-highs and the VIX signals higher-lows. If the USD and rates fail here, this market has plenty of downside risks.
Across our core risk management durations, here are the lines that matter to me most:
- Immediate-term TRADE resistance = 1771
- Immediate-term TRADE support = 1744
- Intermediate-term TREND support = 1683
In other words, with the all-time closing high (1771) registering as resistance, there’s plenty of mean reversion downside. If the market stops me out of these thoughts, so be it. But sentiment (II Bull/Bear Spread) is tracking at its year-to-date high now too.
Chief Executive Officer