MaR Jul 14 2020

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Market Report for Jul 14 2020

Correlation

Make sure your portfolio is not totally correlated to the market. You want a balanced book long term.

New Positions:
None

Trade Zones:
Stand aside

Market Trend:
Up

Market YTD:
Nasdaq Composite +15.8% YTD
S&P 500 -2.3% YTD
Dow Jones Industrial Average -8.6% YTD
Russell 2000 -15.9% YTD

Market Volume:
NYSE Vol: 1.0 bln
Nasdaq Vol: 4.8 bln

Comments:
There was profit-taking a few hours after I mentioned doing the same thing during yesterdays session. Tech took the most amount of profit off the table as this is where most of the gains have been made. In recent weeks I have been referring to the sector rotation and yesterday we saw it in action as Nasdaq closed some 2% lower. Volume was not too far off the usual recent levels though. Healthcare, Financials and Industrials gained the most. From the MaR webinar, you will know that Financials is the area we have been interested in of late.

The market still looks healthy and pullbacks are part of the market staying healthy. The health deteriorates when the support levels are broken. So far most of the trades are holding at support zones.

So today is a stand aside day and we want to see how the session ends.

PORT Jul 14 2020

Lets go trade!