I’m traveling today, back to the island, with a loooong layover in Miami.
Fitting after a week like this. IN/OUT just closed out its eighth winner, but the markets closed out a short week-long losing streak that somehow managed to feel even longer. Of course, it caps a month of 4% to 6% gains for both indexes, but I won’t be awarding any style points.
Normally, I could care less about what happens on the Dow Industrials - for traders, the one to watch is the S&P 500.
But… when there’s smoke… when there’s excitement brewing… I’ve got to keep my eye on it. And that’s what’s happening right now. The Dow and the S&P 500 are actually diverging right now…
Not only that, but there are significant rotations playing out right now, which we’ll get into.
Like I said, divergence and rotation means we could be in for some chop in the sessions ahead.
Here’s what that means - and what to do about it…