Hello Everyone,
Note: I also recorded the newsletter as a video and I'm waiting for it to fully render, I'll also send a link out to that once it's rendered and uploaded.
Quick Comments
as I'm running behind: We were on the lookout for an oversold snapback rally (plus three of our reversion to mean systems had taken long trades and were looking for a reversion to the mean rally), and we got that today with the SPX rallying +1.8%, and the Nasdaq +2.1%. The major indexes closed just below their respective 9 day EMA's. Tomorrow Powell speaks and he market will be paying attention. As far as the market I favor more follow through to the upside, but remember the backdrop and that we are in a bear market. The 4050 area and and a downtrend line on the SPX from the mid August highs would be a good target to look for objective shorts.
Gold and precious metal stocks snapped back with GDX closing strongly over its 9 EMA (a positive sign), and we saw a big reversal in the US Dollar. Commodities also got hit today and have been weakening as of late.
Matt
