Data is flying around and when that happens there is noise.
To remedy this, just look at the price action of the stock market as a whole.
Of course, there are multiple ways to do even this, but I like- short term- the 10 day and 50 day moving average.
As of now the S&P500 has a 10 day moving average BELOW the 50 day moving average. This is a sign of short-term weakness.
While it doesn't mean doom and gloom, it does mean that price action favors the downside.
So, we hold cash right now, check for especially weak positions to cull and wait until we get the 10-day crossing above the 50 day.
At a time when the financial news flow is rapid fire, it's a way to bring it back to the basics, price action.
The opinions expressed in this commentary are those of the author and may not necessarily reflect those held Twin Gryphon Advisors, LLC. This is for general information only and is not intended to provide specific investment advice or recommendations for any individual. It is suggested that you consult your financial professional, attorney, or tax advisor with regard to your individual situation. Comments concerning the past performance are not intended to be forward-looking and should not be viewed as an indication of future results. Investment advisory services offered through Twin Gryphon Advisors, LLC, a registered investment advisor. The material is for informational purposes only. It represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events or a guarantee of future results. It does not purport to be complete and is not intended to be used as a primary basis for investment decisions. It should also not be construed as advice meeting the particular investment needs of any investor. Neither the information presented, nor any opinion expressed, constitutes a solicitation for the purchase or sale of any security. Past performance does not guarantee future results. |
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