Year-to-Date Strategy Stats as of today:
+ 35.13% : Turner Quant Advantage (TQA)
+ 11.80% : Tactical Growth (TG)
+ 2.50% : Diversified Income (DIS)
+ 16.87% : Leveraged Index (LI)
+ 9.48% : S&P 500
Let's see... The market is in a Sector rotation... no... that's not quite right. The market is moving from growth stocks to value stocks, right... well not entirely. Ok... the software used to count votes in 28 States looks like it had a counting bug (sure... it was just a bug) that flipped votes from you-know-who to you-know-who, and the market is all in a tizzy about that.
That CAN'T be what's going on... It MUST be the outbreak of new COVID cases and the looming lock-down as proposed by... well... you know who. But, if that were the case, wouldn't the home-bound stocks be skyrocketing after they got the wind knocked out of them earlier this week... but they are not.
Oh, I've got it... Trump is outlawing the owning of certain China stocks... THAT's it... that's why the S&P 500 lost 1% today.
No... that's not it, either.
Here is what is important to know... We do not need to know why the market is behaving like it doesn't know where it wants to go. We only need to know that the market is behaving like it doesn't know where it wants to go. The why is irrelevant. What IS relevant, is the market is in a state of limbo... with no clear trend. And, if you are an ardent follower of my investment philosophy, you know what the plan is... "When the market is in transition with no clear trend in play, cash is king."
So... what am I doing? I am not buying stocks and I am not buying inverse ETFs, strictly because there is no definite trend in play. I am raising stops and looking for opportunities to sell existing holdings.
It does not matter what direction the market finally chooses because it will show us and we can move from cash and into the equities that benefit the most from a well-defined market trend.
Right now, the old adage, "Let the trend be your friend!" is so very true and since there is no trend to befriend, the safe bet is to step to the sidelines.