Sunday, August 25, 2019

Selling continues.....

Indices are in freefall.....

Too many negatives to get inflow

Range bound market is @ low end of range and ready to breakdown.

News is negative on many front....

Fed not as supportive as needed...

IF Fed react on Monday...then we may have temporary relief but it may not sustain.

Trade fiasco between US & China is completely in neverland.....30% tariff is insanity when 4% was the norm on imports in USA....

Inverted yield is giving repeat signal that all is not well in US economy, but it is being ignored by Fed & US administration.....a recipe for further selling in equities...

Russell 2000 already closed @ low.....small caps are the backbone of economy, IF they go down first other indices will follow....

SOX is flashing trouble sign with Chinese exposure, IF they go down further Nasdaq will tank....

Great earnings reports have lost all the gains....GOOG CRM comes to mind......

SO...we all wait for Indices to flush out last holdouts ......

This selling climax may not resolve all the issues only Fed may see the light by jumping in with a cut in Fed funds rates.....

Good luck with your own analysis and comfort level with this crazy turn of events....

BLOG does NOT give buy or sell.

Saleem


3 comments:

stocktrader_1996 said...

Hi Saleem,

Last week: -0.94% (YTD: +11.47%)
Notable Winners: BCEL PSNL CSTL MHO
Notable Losers: BZUN VYGR LYFT SPLK ACST

What a wild week! As I calculated my weekly numbers, I was surprised to be down so little, easily forgetting how good the beginning of the week was--that's how fast things change. If not for earnings problems from BZUN and SPLK, I would have ended nicely positive on the week. I'm really not sure what to do next, but we see the bouncebacks can be as vicious as the selloffs, so maintaining exposure with my story stocks seems to be the best idea for now. I'll still continue to prune the weaker stocks on strength to have cash to pick up the stronger stocks on weakness.

Holdings: PLAN MHO FSLR TREX PSNL ACMR LYFT BZUN VYGR CSOD GTLS ACST TRIL, cash 0.0%

Stocktrader

Stocks100 said...


Hi Stocktrader,

Last week Down 6.14%

YTD UP 59.99%

Saleem

stocktrader_1996 said...

Hi Saleem,

Sold BZUN @ 41.00

I got this wrong, and don't have a good feel for the next direction.

Stocktrader