10/15 Lines After Dark
Avoiding Confirmed Risk Alarm, Resuming Melt-Up
A busy few days for the market to say the least.
8/10 Friday— trigger risk off alarm with all three criteria set off
8/13 Monday— failure to confirm risk with successful close above short term trend
8/14 Tuesday— close just below short term trend, avoid risk alarm with positive breadth
8/15 Wednesday— close above short term trend, positive breadth, risk criteria reduced to 1/3
It has been a noisy trading range, and I have kept to my rules whereby the failed risk alarm resumed the primary outlook as the melt-up we have discussed for most of the past few months. I remain cautious— and the only substantial change I made was returning the ARKK trade back to full weight from 3/4 on Tuesday’s session.
I almost can’t believe I’m still writing it— but the market remains bullish until proven guilty. That sentencing has yet to come.