More Bounce? 8th Sep 2022

🖼 Daily Technical Picture 📈

➤ I guess we could say today's price action was a bounce that we had to have...just a little later than I thought. We are still in the chop zone so these bounces may not last long. The mid-May 2022 action can act as a guide.

➤ I sold my US Index positions as I held it for a bit longer than I would like. They may indeed keep moving up but there is still a good chance it can all reverse too. Therefore, I reduced my overall exposure. I'm sure we can get another bite of the cherry if prices hold up well.

➤ I continue to hold long DAX and EUSTX50 positions. Europe may outperform in the short-term as it was more oversold than US indices. My overall exposure has decreased to +80%. This is a moderate conviction level. The maximum exposure is +/- 200%, the level of highest conviction.

➤ Conclusion: First day return after the holiday was a big green day but one sunny day doesn't make it Summer.