Stock Market commentary (March 29 – April 2)
It’s going to be a busy but short trading week as the stock markets in North America are closed on Friday for the Good Friday holiday. We had a big stock market reversal starting on Thursday where we saw the market shoot up but at the end of the day close lower. As I mentioned, the stock market has been on fire since Feb and we’ve been calling for a pullback in the markets but the market has stayed resilient. However, we’re looking at some form of a pullback this week as the rally seems very tired. We’re gonna take a look at some inverse etf’s to play. From looking at the charts, we see the financial sector as one of the sectors that could lead us down. We’re looking at buying the leveraged inverse etf’s in the financial sector and we like SKF and FAZ. Here are our target prices:
SKF BUY $19.35, SELL TARGET $20.70
FAZ BUY $13.60 SELL TARGET $14.75
These 2 ETF’s are pretty volatile so if you’re in the money on these, set some tight stops.
Have a great trading week.
Mike
Update
We are out of all inverse etf positions. The market is telling us it wants to go higher.