When You See a Big Increase in Volatility in Several Different Asset Classes, it Almost Always Spills Over into the Stock Market Eventually.
Quick note: I will be on vacation during the second half of next week, so there will be no weekend piece next weekend. I will be publishing my daily piece next week on Tuesday and Wednesday (after the long weekend)…and then I’ll be back on Monday, February 23rd. Thank you…and enjoy the rest of your long weekend!
Table of Contents:
1) The continued revaluing (and thus reweighting) of the tech sector is likely going to stay with us.
2) Can the chip stocks continue to keep the broad tech sector from falling in a meaningful way?
3) We love Japan, but they are still facing some serious issues.
4) Nice rally in Treasuries, but part of that is due to an increase in stress in the credit markets.
5) Updating the charts on the major averages….Two are testing key support levels.
6) If the home builders continue to climb, two names should outperform from here.
7) Alphabet (GOOGL) is testing a VERY important support level.
8) Updating six charts which have seen some wild moves so far this year.
9) Potpourri…..Bitcoin chart.
10) Summary of our current stance…..Volatility tends to be contagious.
