Often when a rally runs through some hot sentiment & a “niner” exhaustion signal without a breather, there is a retrace that will wipe out that extension (pink bars) in the not too distant future .. mission accomplished!


As of this post, you likely are aware of the tweet/news coming from DJT regarding trade talks .. Man oh man, did they ever set up sloppy bulls last week. While everybody was expecting a trade “deal” by the end of this week, we get these comments from the Donald himself late Sunday evening .. And how fitting that it comes in a tweet nonetheless. Regardless, riff-raff bulls needed a good punch in the mouth .. Bears pretty much lost all hope off last week’s quick snap back. We definitely need to get them interested & back involved again.. So in other words, some selling was much needed & well overdue .. Bottomline for us, not much really changes here. Continue to primarily focus on quality post-earnings buying when/if it shows, that will tell us everything we want to know.. Everything else, especially in individual names that still haven’t reported yet, comes with alot more risk attached & are more prone to failire. So remain quick/tactical there .. BUT, that was already the case even before this potential selling as we have discussed & complained about ad naseum recently .. Now at least we have some potential post-earnings set ups & possibly (fingers crossed) a little drawdown in markets do go along with it .. Remain bullish yet remain selective & as always keep our eyes wide open dont get distracted by the inevitable noise out there.