Mar 9, 2021
Chris Vermeulen joined us to share his views of where the markets are at and why being on the sidelines in cash is not such a bad thing. For the Stock Market - Sector rotation into the Dow and Transport Index doing well. It’s flock not a shift. Stuck under the 50 day moving average. Small caps and Dow are holding up well vis-a-vis the Nasdaq. Where can you go and find value? There’s so much money searching for the next move. It could be getting a little overheated. Energy is the way to go. It’s leading the way and where the money’s flowing.
No Bonds for You - Bonds Away. Fear is creeping in. Investors not trusting US Bond Market. People are indifferent to bonds. Investors aren’t buying any defensive positions. We’re getting closer to a deeper correction. Not a whole lot of changes in interest rates. The market is getting long of tooth.
Along with the $1400 Robinhood Subsidy Check record flows going into the market and coming out. Just a matter of time till it runs out of steam. Another market push coming. Next leg down is coming. Where’s the money going? 1-2 weeks. Avoid the chop. Big moves equal big haircuts.
Gold and Silver could see the bottom fall out. A running consolidation. Silver still has a bearish consolidation. Stay on the sidelines and get in when the dust settles. Majority of investors have been very tech heavy. If you’re in it you’ve probably seen the worst. A little more to come. Long term bull flag patterns. Dollar is playing a big part in it. Fear among big investors. Global money is moving to the dollar. Charts are saying move to cash. Music is coming to an end. Sidelines are a great place to be when corrections rear their ugly head.