US stock market has retreated to test support...
US stock market is trying to digest many issues...
Russia Ukraine war is stuck in the mud, going nowhere fast, negotiations going nowhere...
Inverted yield also spooking recession fear
Market players are evenly divided between bulls & bears....
Fed ready to increase interest by 50 basis this month
Covid-19 with its many variants are playing guessing game
All in all lot of cross currents are troubling US stock market....
My take is buy & hold stocks which you are comfortable holding in a passive mode, which is what I have been doing...keep hope & expectations very low
Among the sectors I follow, only XLE is overbought & vulnerable, its sporting an RSI of 77.06
SOX @ 47.74 RSI is the weakest.....
Rest of the sectors seems healthy and getting cash inflow...
This is a time in market where you should discover new area of investing instead of following same old...
Crypto currencies has made a strong comeback and may be good place for exposure....from ETF to individual stocks, list is endless...
Good luck with your own analysis & comfort level.
BLOG does NOT give buy or sell.
Saleem
2 comments:
Hi Saleem,
Last week: +0.93% (YTD: -8.18%)
Notable Leaders: PLAY ZENV ENPH SNAP VERI
Notable Laggards: DE LITE
In a volatile week for the averages, the portfolio managed some marginal outperformance. For the first time in a very long while, I made no trades, maintaining both the large hedge but also holding key theses/stocks. I think the global liquidity withdrawal will have broad effects in decreasing valuations across the board still, and persistent high inflation in food/energy/transportation/labor could lead to decreased earnings and estimates. This combination could lead to a dramatically lower stock market still, without much upside risk, so I look to continue this split portfolio composition as long as it keeps working.
Holdings: TZA(40%) SNAP DE ENPH PLAY VERI LITE ZENV BMEA, cash 0%
Stocktrader
Hi Stocktrader,
Last week UP 3.67%
YTD UP 14.34%
Saleem
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