Sunday, June 5, 2022

US stock market mixed bag.....

 US stock market can be best described as mixed bag.

US stock market is having serious reaction to interest rate jitters.

Uptrend is impacted by any news about more than expected rate hikes.

Market is looking for clarity in interest rate hikes which does not exist.

Ukraine news is getting more digestible to markets as grain shipment may resume

Here is the current read on RSI :

TAN         63.40

XLB         55.29

IWM        53.50

SOX        52.40

DOW      51.38

XLF        50.20

S&P 500 50.14

Nasdaq  48.83

JETS     46.58

ARKK   45.70

As you can clearly see that market has no real favorites currently, TAN or Solar stocks have fared well in this uncertain market, followed by XLB materials stocks.

Russell 2000 or IWM is 3rd favorite so far,

SOX has surprisingly fared much better than popular consensus is number 4th best performing.

DOW, Financials & S&P 500 are rated 5, 6 & 7

Bottom 3 are Nasdaq, JETS & ARKK.....

Nasdaq being 3rd worst is a huge surprise this late into recovery phase...

ARKK has the unique crown of being the most laggard

RSI rating is a good way to know that old ideas or popular ideas are not working and may be a waste of capital allocation

DOG of RSI may be a contrary way of investing or trading...

Lot to think about where we stand in terms of market preference and performance.

Good luck with your own interpretation of RSI and comfort level.

Making money is never easy in a bear market, losing lots of money happens in a hurry IF your allocation is out of favor.

BLOG does NOT give buy or sell.

Saleem

4 comments:

stocktrader_1996 said...

Hi Saleem,

Last week: -2.30% (YTD: -20.55%)
Notable Leaders: PATH BMBL ENPH
Notable Laggards: BMEA PLAY SNAP ZENV IONQ GTLB

In a digestion week for the markets after a huge runup, the portfolio suffered also. Despite the weakness in the markets, interest rates rose again to approach 3%. Although there is much volatility day to day, most charts I follow are indicating solid bottoming patterns, so I feel comfortable in all my positions, looking only to make small adjustments on overstretching in either direction. My new task is to look for outperformers as we continue to build bases in hopes to find new leaders when the upturns take hold - relative strength vs peers is the best way to accomplish this! Hopefully a quieter summer provides some opportunities.

Holdings: GTLB ENPH PATH SNAP BMBL PLAY LYFT CXM UPST ZENV IONQ BMEA, cash 0%

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Trimmed a little GTLB @ 41.21 ahead of earnings

Added to IONQ @ 5.91 on Russell small cap addition at the end of the month

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Trimmed some BMBL @ 31.96

Added to SNAP @ 14.56

Stocktrader

Stocks100 said...


Hi Stocktrader,

Last week Down 4.00%

YTD Down 4.06%

Good luck with more IONQ & SNAP

Saleem