Below is a chart and brief excerpts from today's Early Look written by Hedgeye CEO Keith McCullough.
Over 4,000 hedge funds have been liquidated in the last 5 years of the 11 I’ve been publishing very obvious Global Macro Themes that have been based on both the ROC (rate of change) of the data and Phase Transitions in The Quads.
What did they miss? And who is missing this move in both Tech and Energy Stocks?A) Tech (XLK) was up another +1.1% last week and is +3.9% in the last month
B) Energy (XLE) was up another +0.5% last week and is +3.7% in the last month
Since both Tech and Large Cap are Sector and Factor Overweights in #Quad3, I could have been long what consensus is long (Tech) and have been right for the right rate of change reasons, but I chose to pivot into Commodities and Energy (XLE) instead.