Home Stocks Trading Advantage Stocks – Starting to Worry

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The markets finished down across the board yesterday. Now this is when I normally say we’re going to bounce back and there is nothing to worry about. Well truth is I am starting to worry. Rallies are being faded and big gains are turning into losses for the macro markets. It started from the record highs and we have seen risk off trading ever since. That is a concern but I am not ready to panic yet. However I do see some more weakness for the markets. That is an issue since everyone is expecting a rally this time of the year. However, with huge gains already had it’s looking more like profit taking and last minute short selling coming into play. Coupled with big money rotating sectors almost daily and it’s leaving people behind. Although tech was considered a leader yesterday, everything collapsed as news of a possible inclusion in the tax bill is likely to lose out on votes. That new uncertainty caused the markets to shift lower and very quickly. It’s more about the velocity and sustained selling that is catching my eye. Look for more weakness for the markets, but I do believe it will be more secular than broad. I do expect the markets to bounce back however it may not be immediate. Expect more gradual unless we get good news regarding the tax bill. Then expect the mother of all rallies to come. I guess I’m kidding but honestly it wouldn’t surprise me one bit to see the DJI bounce 300 pts on that news. Until then, expect the weakness to continue. Open Position: VFC AMZN NKE TRIP AAP WMT AET NTES Stocks to Watch: TWTR CTXS NTAP JBL HLF WFC  JPM MS NFLX WDC DIS SBUX STZ NKE LULU CREE VZ T HOG MON YUM LOW HD LEN TOL FEYE PANW FFIV AKAM

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