VRA Investment Update: Overbought Conditions Wearing Off. Year of the Bull Market. The One Group That MUST Be Owned.

VRA Investment Update: Overbought Conditions Wearing Off. Year of the Bull Market. The One Group That MUST Be Owned.

Over the last 3 trading sessions the Dow Jones has lost close to 1300 points, giving up its gains to date for 2023. If our read is right on the markets for this year, this is about the time when we should begin to see reversal action higher. Headed into last Friday the rubber band simply stretched too far…we hit extreme overbought…as the move higher from the 10/13/22 capitulation lows took the markets to extended readings.

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VRA Investment Update: Shades of 12/2018. End The Fed. Stock Traders Almanac; Seasonally Bullish.

VRA Investment Update: Shades of 12/2018. End The Fed. Stock Traders Almanac; Seasonally Bullish.

J Powell came heavy Wednesday, raising rates as expected by .50%, but hawkish without question, targeting a peak rate of 5.1%. While the Fed broadly likes what they see regarding inflationary trends, their big concern is employment, specifically wage pressure/inflation. This is what has the equity markets concerned…will the Fed break something again…this time the jobs market.

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