Intra-Week Note Preview: A Discussion On The Importance Of What Occurred Today In The Markets, Along With How To Approach Equity Allocations From This Point Forward
In today's 372nd edition of Turning Points we have a an 8 page note discussing the importance of what occurred today in the markets, along with how to approach equity allocations from this point forward. What follows is a brief preview from today's note: Today was an important day for a number of reasons as I will get to in the charts to come. Our original intention in taking on long exposure last week was to gain a leg up on the market by buying seemingly risky names when uncertainty was at its greatest. This allows us to get ahead of the market by having a profit cushion from which we can either simply take the profits off the table or add positions to the portfolio while not being in a vulnerable position should the market reverse. Coming into this week, I had Tuesday and Wednesday achieving the bulk of the gains, with the intention of taking profits on Wednesday, taking a wait and see approach to the markets from there. However, today's price action is the first day since the August 18th bottom that the market is actually telling us, with some certainty, that the bottom in mid-August could be the low for the remainder of the year. To view the entirety of today's note, you can subscribe by clicking here. Zenolytics Turning Points is 300+ editions in and only getting better. Find out why institutions and individual investors have come to depend on our service through each and every type of market environment. Click here for details. Disclaimer This website is for informational purposes only and does not constitute a complete description of our investment advisory services. No information contained on this website constitutes investment advice. This website should not be considered a solicitation, offer or recommendation for the purchase or sale of any securities or other financial products and services discussed herein. Viewers of this website will not be considered clients of T11 Capital Management LLC just by virtue of access to this website. T11 Capital Management LLC only conducts business in jurisdictions where licensed, registered, or where an applicable registration exemption or exclusion exists. Information contained herein is not intended for persons in any jurisdiction where such distribution or use would be contrary to the laws or regulations of that jurisdiction, or which would subject T11 Capital Management LLC to any unintended registration requirements. Visitors to this site should not construe any discussion or information contained herein as personalized advice from T11 Capital Management LLC. Visitors should discuss the personal applicability of the specific products, services, strategies, or issues posted herein with a professional advisor...
Something Happened On The Way To 4600
Something happened on the way out of the turbulence channel I have been highlighting for much of July. That something has to do with earnings being sold. While at the same time bonds deciding to go into kamikaze mode, causing a significant spike in yields. And numerous correlations breaking down all the meanwhile. While the overall outlook remains generally bullish, there is reason to believe that the markets are now off course from the desired destination, which had us above 4600 by now. You can see in the SPX chart above that the turbulence channel represented by the white, gray and red lines has presented problems for this market since the middle of 2022. Here we are again in the middle of 2023 with a powerful reversal on July 27th turning into further distribution of stock from Wednesday until Friday of this week. 4445 now becomes a make or break level for the markets over the next few weeks. In fact, this is one of the most important technical tests of the year that is about to take place, with a high probability of it occurring this week. Investors are well advised to remain on their best behavior over the short-term. Make sure you are trading and not hoping. How the market handles 4445 moving forward will tell us everything we need to know about what to expect for the remainder of August. Zenolytics Turning Points is 350+ editions in and only getting better. Find out why institutions and individual investors have come to depend on our service through each and every type of market environment. Click here for details. Disclaimer This website is for informational purposes only and does not constitute a complete description of our investment advisory services. No information contained on this website constitutes investment advice. This website should not be considered a solicitation, offer or recommendation for the purchase or sale of any securities or other financial products and services discussed herein. Viewers of this website will not be considered clients of T11 Capital Management LLC just by virtue of access to this website. T11 Capital Management LLC only conducts business in jurisdictions where licensed, registered, or where an applicable registration exemption or exclusion exists. Information contained herein is not intended for persons in any jurisdiction where such distribution or use would be contrary to the laws or regulations of that jurisdiction, or which would subject T11 Capital Management LLC to any unintended registration requirements. Visitors to this site should not construe any discussion or information contained herein as personalized advice from T11 Capital Management LLC. Visitors should discuss the personal applicability of...