There have been a few times over the past couple of weeks where we’ve seen warning signals flash and stocks start to waver.
It goes a little something like this: The mood turns risk-off, the mega-bulls calling the shots in chipmakers and tech start to falter, and defensive plays like gold and bonds start to rise.
Now, I watch for these situations like a hawk, so we’ve been ready when these scenarios play out. And we’re ready to resume running with the bulls when they’re back from their profit-taking - as they’ve always done.
I’m starting to see the same warning signs creep up right now, particularly selling in the usual market leaders I mentioned. Not only that, I’m seeing convincing signals that metals are getting ready to run higher - another classic “risk-off” event.
The wind’s starting to blow - let’s look at what we can do to get ready…