U.S. equity markets are up over 13% in 25 days, but all of my indicators continue to suggest that a pullback is the next big move.
For all the positive signals being sent by stocks, buyers aren’t storming back. In fact, going by one measure of U.S. outflows, investors just yanked more money from American equities than any time since September.
Enthusiasm remains subdued as a logjam of investor concerns – from China growth to ineffective central-bank policy and weakening profits – shows no signs of dissipating.
I now recommend that you add a bearish position on the U.S. equity markets …
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For ALL Members: Using 5% of your trading funds, buy Direxion Daily S&P500 Bear 3X ETF, symbol SPXS, at the market. Place a good-till-cancelled protective sell stop at $13.85. |
Gold is popping higher this morning, a knee jerk reaction to the Brussels attack. No, it is not breaking out. The trend remains down in gold, both in terms of my forecasting models and the price action, which is showing massive overhead resistance building all the way up to $1,285.
Our hearts go out to those in Brussels, and all over the world, affected by this morning’s attacks.
Go ahead and get the above order in and stay tuned!
Best wishes,
Larry
