The last update we said we didn’t think it was over, even on that rally we thought it was a bit light, but we think we are closing in on the bottom this time. We are going to re-test this old bottom which is very close and likely the selling will be done after US thanksgiving. Right now all the leading stocks are under pressure and our cash positions have sat safely on the sidelines. We may begin to deploy a bit of capital if we have a successful bounce off the October lows.
The gap down today, hasn’t had any panic in it, but think a bit more fear and volatility and we will have ashed this out.
The leading stock in the world is arguably Amazon these days and it looks like the leader is attempting to break trend and move higher, this is a vote of confidence.
We will be looking for an intraday reversal in the near future. Markets aren’t fun, but no surprises here.