Been traveling extensively so will keep this short this morning:
The market remains narrow.
Major indices act fine.
More than 40% of the market still aint happening and it is imperative that you continue to avoid areas we have told you to avoid…commodities of all stripes including gold/silver. Other markets like emerging, Brazil, Russia, Turkey, EAFE and many many other countries. Sectors like autos, housing and gaming.
But leave no doubt, there has been a continued move afoot into growth/beta/tech/internet. The problem is it feels like it is becoming the only game in town. If they come after these areas, markets could have some issues. Many are very extended.
We got through August. Time for September.
Lastly, been asked a lot about marijuana stocks. Interesting we are being asked AFTER 100% move in some names that are trading at asinine valuations. Technically, they are off the charts extended. Need not say any more.