Long time readers know I like to use the bottom fishing screen, inside The PPT, to find inflection points. When the screen starts to populate inverse ETFs, it’s time to pump the breaks and use caution going forward.
So far, throughout this insane rip higher, the screen has yet to flash caution lights. However, in tonight’s screen, we are starting to see the inverse ETFs pop up. Go ahead and take a look the screen results HERE. We have DXD (short the DOW), FAZ (short the financials), SPXU (short the S&P), and a few silver ETFs on tonight’s screen.
We have some heavy hitters in the financials reporting this week, so I guess our fate really depends on the banks over the next few days. Let’s keep our eyes glued to the financials here, specifically $WFC & $JPM, as they report tomorrow. Also, I’ve always liked $C as a tell on future market direction, so keep that one on the radar as well.
/ES is down 5 as I type, tomorrow should be an interesting and telling day. Good luck everyone.
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Fuck this shit.
okay, how about GWPH. I know you appreciate that one.
Yeah still long. We gonna need some green if the signal proves true.
I just can’t physically bring myself to purchase and inverse ETF, even picturing it in my head, its just no.
You don’t have to. It is simply a sign from the almighty PPT saying these stocks & ETFs, according to the algo screen, are bottoming. Signal does not come much on inverse ETFs, but when it does we normally see a correction.
Agreud. Was never unclear or calling into question the PPT. Nudge me into something if you decide it’s worth a shot.
* the ALMIGHTY PPT
Always a warning sign when the PPT starts giving those inverse ETFs oversold signals.