As we noted in last night’s closing commentary, despite the media focus on the mega-cap Nasdaq names, downside volume on the NYSE over the past two days has been over 80% of total volume.  In other words, the consolidation of the gains we have been writing about has already been taking place prior to today’s whoosh lower.  The market saw an extraordinary move out of the trading range and reached a point of excess that we highlighted last Friday.


We are publishing a macro post in just a little while outlining where the market could pull back to, and what we would look for to determine what would signal it is ready to go back up.  History suggests the consolidation based on our studies and charts in Consolidation Confirmation suggest a volatile period, but not a major setback.  We plan to cover that on today macro call at 1pm EST.


Past performance is not a guarantee of future results. Index returns are unmanaged and do not reflect the deduction of any fees or expenses. All data points are sourced from Bloomberg as of 6/11/20 unless noted otherwise.

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