Today's Portfolio Review
The G20 meeting presents a quandary here. While this week's clarity from the Fed represents a significant improvement in the near-term environment, the potential for bad news from the Trump/Xi dinner could easily push things the other way.
We currently see the odds of "bad" news as about 30%, "great" news at about 10%, and the odds for market "friendly" news (meaning some sort of truce where the two sides agree to keep talking) at about 60%.
As such, we may add to our holdings today - in the Market Leadership or Top Gun Stocks section. But there is no guarantee as we still have to meet and make decisions. Just wanted to give you a heads up.
Here is the current positioning of the portfolio and our member ratings:
Effective Net Market Exposure Explained
The Effective Net Market Exposure is the "net long" position of the overall model portfolio after factoring in the impact of leveraged long positions such as SSO and QLD and/or short positions. Leveraged ETFs such as SSO are designed to deliver approximately twice the daily return of the underlying index. Thus, a 10% holding in the SSO equates to a 20% "net long" position to the portfolio.
Current Rating Explained
This is our rating for the day. The Current Rating tells you what action we would take if we did not currently hold the position. A "Buy" rating means we would be willing to purchase the position at current prices. A "Strong Buy" suggests this would be our first choice to buy. A "Hold" rating indicates we would not make new purchases at current levels. And a "Sell" rating indicates we will likely exit the position in the near-term.
Positions Can Change
Positions often change during the trading session. Remember that we ...