Seasick? You should be!
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Pass The Sick Bucket
So. Let’s recap what has happened over the year that was this week. Make that the last three days.
Wednesday, Chairman Powell said, more or less, lower but not yet. The market dumped because it only heard “not yet” and ignored the “lower".
Thursday, the market checked its notes, noticed the “lower” part, figured it could wait, and mooned. It was up quite a lot anyway and then META and AMZN blew the lights out which just added a speedball to the existing dopamine cocktail the market was halfway through snorting.
Friday - and it’s only a little after 9am Eastern still! - a blowout jobs print has sent skittish bulls scurrying. Whether this is a fundamental reset of expectations or just a collywobble, who knows, but it was enough to send this investor darting to the “hedge” button in the S&P, Nasdaq and the SOX. I also sold quick-smart a handful of ETFs I had bought on the rate-cut theme, being FAS (3x long financials), XLU (utilities) and XLRE (real estate).
As always, price will tell us where price is headed. Today’s close will be important as there has been a wall of news to digest all week - earnings, FOMC, NFP.
OK. Now onto our usual charts. Paying members of Inner Circle, scroll down for our long- and short-term take on the S&P500, the Nasdaq-100, the Dow Jones 30 and the Russell 2000 - including the regular ETFs, the futures, the 3x leveraged ETFs and then finishing with a take on sector ETFs in semiconductor, tech, and the Fangs.
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Note - to open full-page versions of these charts, just click on the chart headings, which are hyperlinks.