Stock Market Holdings Review

The stock market has gone through the realization of high inflation and the Fed’s intent to raise interest rates. Looking into where my portfolio holdings stand today.

I hold SPXL which is 3x leverage of the S&P 500.

The S&P 500 is still trending bullish with the 10-day moving average above the 20-day. The price had dipped below both those and the 50-day as well. But has rebounded over the last 2 trading days. I can see that the 10-day moving average is converging on to the 20-day and there is a chance that it crosses over. The next few trading sessions will provide more indication if that is going to happen. For now, I will hold my SPXL. Note that the SPXL price trending is exactly the same as for the S&P 500.

I hold TECL which is 3x leverage of the Technology sector

The TECL actually did turn bearish per my model 2 days back. This is based on the 10-day moving average crossing below the 20-day moving average as shown by the red arrow in the above chart. So, I should have sold it yesterday but did not because TECL was up. I do not sell on up days. The next time TECL is trading negative (between 10:30am and 3pm trading hours) and if the 10-day is still below the 20-day, I will sell. So, I am holding for now but will keep a close watch and sell if the sell conditions are met.

I hold SOXL which is the 3x leverage of the Semiconductors sector

As we can see the SOXL trending is such that we are on the brink of the 10-day moving average crossing below the 20-day. Although price has been trending higher for the last 3 trading days. I am going to hold for today and see what happens.

I hold DRN which is 3x leverage of the Real Estate sector

The DRN has done exceptionally poorly over the last couple of weeks. The price trending has been such that the 10-day is most likely now going to cross below the 20-day. So, I will hold today but will apply the same treatment if that happens.

Later today I will do a full sector analysis to see which sectors, if any, are breaking out.