Saturday, June 22, 2013

Wait and See...6.22.13

We did get a little bounce on Friday but it's not clear that this will turn into a rally run. 
To confound the market's direction earnings season is beginning, which typically stimulates volatility as large traders seek to straddle the news with options positions and/or outright directional bets.

Of the 6 bullish components only XLU is downslope XLU and only XLV has a positive P6 slope...which is not a signal to be vested...just a suggestion as to XLV's relative strength.
HOWEVER,  on closer examination after checking with the Variable metrics panel it's apparent that XLV's strength is a trivial .07% relative to it next best performer (IWM) on a 5 day basis so the apparent strength is marginal at best and not significant.

At this point the T6 portfolio (along with all the T2 variations) remains in cash until technical signals improve.
Click once on chart panel to clarify and enlarge.