26Jul3:14 pmEST

Eyes Wide Shut to This Mask

Although we have seen a fairly muted reaction to the Fed, thus far, the most concerning aspect about today's price action in equities is that the stodgy, mega cap names in the Dow seem to be masking weakness in the small caps.

And that spread is only more concerning as I write this, with IWM pushing session lows while the likes of Boeing in the Dow stages what could easily be a short-term blow-off top. 

As a result, I have been a net seller of equities over the last few sessions. Granted, I have no shorts on at the moment. But that can change quickly if bears decide to rise to the occasion the rest of this week.

Facebook, PYPL, GILD, and LVS all headline earnings tonight, not to mention some big earnings tomorrow morning pre-market. All of those reports can tip the scales for bears if we see GOOGL-type of reactions. 

But for now rather than being a hero and trying for a top in equities, I am a bit more intrigued with the rotation into precious miners and even energy as the Dollar gets whacked on the back of the FOMC. 

The Fox Guarding the Yenhous... Canada Goose was Loose

 
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