30Jun10:51 amEST

It's Not Adding Up

After a promising start to the week, oil stocks are giving up the ghost as we speak which is all the more an issue for the market given the persistent selling in growth and tech stocks. 

We are in a seasonally stronger period for the next few weeks. However, this price action is not yet adding up to something actionable on the long side as I see it, especially is the Dollar keeps breaking higher. 

Even with rates headed back down, growth stocks staying weak is a red flag in my view, as it may indicate the market is turning its focus towards the deflation/deep recession side of the ledger. Ultimately, I think inflation will be with us for longer than many think, but I am referring more at this point to buying the likes of Chevron first into a market swoon rather than blinding buying here. 

Interestingly, the defense/military stocks like LMT, below on the daily chart, are among the best movers and looks in the market. Perhaps more aggression is coming overseas, not just from Russia but also China sooner than later? 

Morgan Stanley Agrees with M... To Short or Not to Short?

 
BackToTop
 

This website is intended for educational purposes only. | © 2024 MarketChess.com | All Rights Reserved | Website design by Saco Design | Superpowered by Site Avenger

mobile site | full site