November 26, 2021

Is It Happening Again?

Hard to say, but for now my opinion is to wait and take advantage of opportunity. Wait, because most major news resources, and many politicians have been explicit in saying “a good crisis should never go to waste”, hence, I’ll listen, but with ample skepticism. On the opportunity side, a decline, such as the markets experienced today, will have a constructive impact on the technical indicators we watch closely. This is especially important since the markets had already shown some encouraging signs.

As equities go, the companies, such as Abbott Laboratories (ABT) and Costco (COST), that persevered during the heat of the virus are showing some light, and the normalizing companies in the Industrial and Consumer sectors are taking predictable heat. Cash and US Treasury exposure can soften the blow for now, leaving patience as the best strategy.


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