The President stated yesterday that the Covid crisis was over- and you can see what that did to healthcare stocks and medical devices overall. But there is far more happening there than just Covid, so let these fades allow us to find opportunities in the future.
Market Outlook – with the FOMC release tomorrow, traders are nervous – we’ve sold off the overnight gains and look to hold lows in a choppy space ahead. As I mentioned, several that I spoke to in the hedge fund space feel that this will be an event that will push us out of the range in which we sit.
Our charts from yesterday showed us where prices were likely to move, and we remain in a range. This is why I am hesitant to position with greater size. As I have mentioned many times, I am more than 70% in cash and remain that way until I get a better feel for whether the doom and gloom that many are calling for will be somehow averted by changing environments.
Some charts to share-
MarketSmith’s latest list – in case you are interested-
Speaking of those things that might present gloomy skies…