Who’ll Blink First?
Two 100+ point down days and as I mentioned Monday morning, this is unfortunately what it takes to get Washington’s attention.
Yesterday was interesting because it’s the first day in quite some time I saw a flight into the defensive stocks in the S&P 500; many which rose over 1% for the day. This type of movement is needed as it signifies that fear is beginning to grip the portfolio managers and it’s usually a tell that a reversal is getting closer.
The events in Washington will continue to be the main driver here. Any sign of progress will lead to an immediate rally.
Today’s Potential Opportunities on Further Pullbacks: