Tread Carefully Here
The markets are overbought heading into today but the situation in Ukraine will take care of that quickly.
Pullbacks created by geopolitical events are often very choppy and historically unpredictable because one never knows just how far escalations will go. This situation on the surface appears contained to one region but with it impacting so many relationships, along with the potential to escalate to a higher degree, one may want to be a bit more prudent on this pullback. If the pullback is normal (meaning it behaves like a regular pullback), you’ll make a bit less money. If the situation turns worse and becomes sustained, you’ll be much better served by having higher cash levels.