Wednesday, October 2, 2013

X Sectors Update...10.2.13

Today the selling has started to take hold as the talking heads predicted there will be NO QUICK FIX to the current funding deadlock.  This, of course, is pure speculation based on mostly gut feelings from a bunch of guys who have no liability for your capital account...and their forecasts should be regarded accordingly.

The markets continue to deliver a few surprises as the gllom and doom scenario sinks.  Ons such example is the momentum leadership of XRT (retail sector), while XLU (utiltities), which is generally regarded as a safe haven sector, languish at the far end of the relative strength spectrum.

As with virtually all the other models CASH is the current position status indicated by the various P6 risk management stops.