Week 16 Mid-Week Trending Updates

The pre-markets are down this morning as I write this. I am positioned short the equity markets and long the precious metals. Seems like today I will be OK on the equity trades but not OK on the precious metals’ trades. Markets have their own way of deciding what they will do during the day. So, we shall see. Meanwhile let’s look at how any of the trending has changed during these 2 days of trading so far this week.

Summary

The trending I would characterize as mixed. I do still believe the risk is to the downside for equities and accordingly I am positioned short equities. I am long the precious metals which has started showing some weakness. I will need to watch whether the weakness is just a breather, or it is meaningfully going to break.

Major Markets

There is no change in the trending. The NASDAQ and NASDAQ 100 are now literally flat for the month. The Russell 2000 still looks the weakest and the 50-day moving average is likely to dip under the 200-day moving average in a few days.

I am still short the SPY, QQQ and the IWM.

SPX Sectors

The XLP turned perfectly bullish.

The XLK also turned back to perfectly bullish.

The XLI turned perfectly bullish.

No change in the XLF but the 50-day moving average is going to dip below the 200-day moving average this week.

I continue to remain short the XLRE.

Commodities

The precious metals are showing some weakness. However, I continue to be long GLD, GDX and SLV.

Technology

ARKK turned short-term bullish, but I would not go long. The price and the moving averages are all bunched up and there will likely be a breakout in either direction. That would be the time to trade.

ARKQ turned short-term bearish. So, this one is telling you where it likely is going.

ARKW turned perfectly bullish. But it looks similar to ARKK, and the trending could be fake.

BOTZ turned perfectly bullish, but the 10-day already looks like about to dip below the 20-day moving average. Stay away.

CIBR turned perfectly bullish. Could be a fake signal. Stay away.

KWEB turned short-term bearish and looks like going down more. I am short.

SMH turned short-term bearish couple of days back. I am short.

I covered Financials earlier this week.

I covered Energy yesterday evening.