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Friday, September 22, 2023

Weekly Wrap-up: Good things happen to those who wait.

Yesterday Thur. - the sell-off continued into day 2 - day 3 for energy stocks - and the selling accelerated into the close.  

It's good to see energy finally pull back, and right where fast money - back on Sept. 14th - claimed they were bullish. 

Speaking of CNBC Fast Money 

I watched a good portion of the show last night - as I was fixing dinner - and it was pretty good, for a change. The host even questioned the official narrative - "hawkish pause", Guy Adami, pointed to the broken bond market, and they even had Rick Santelli on, and you can catch what he had to say in the video - linked to the CNBC tweet - below.

 To be honest the bond market is a bit of a mystery to me, so I'm always happy to learn more about it. 

Getting back to this sell-off

I kind of figured - after the long summer break - the powers that be, would want to trash the market, before putting money to work, and they must have seen this period between the latest FOMC meeting - and Yom Kippur - as their golden opportunity.

I didn't even need to look at the calendar to time this sell-off, because I simply trusted the $VIX, and I'm looking like a genius; after telling investors to put protection on at $VIX 13.

To document: 

Tech stocks 

Amazon was trashed along with AI stocks, and everything else I warned folks not to chase, back in July. Yesterday, I pointed to a leveraged bullish tech ETF on twitter, but I've since deleted that tweet.  

$AMZN 



Good things happen to those who wait 

I've already taken some profits on my short positions, and I'm carefully tip-toeing into some beaten up sectors. 

I would be happy to reveal those trades, if traders supported this channel, but I'm not going to give away my best winning trades for free. 

$VIX 

I did give away yesterday's $VIX target, and I encouraged investors not to panic. 

Friday

This morning we're seeing dip buyers step in, but because of the fact that the selling has been highly orchestrated, I wouldn't expect to see the bears get paid on their weekly options, on this Friday. 

Expect to either build a base, or close near recent lows, in a panic close. 

Take care, 

AA




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