Retail is officially buying crap by the truckload.
The S&Ps may be drifting higher right now, but don’t let that fool you: Volume’s dead, tech is stalled, and the so-called leaders? They seem to be taking the week off. They’re nowhere.
The serious needle-movers right are utilities, homebuilders, healthcare — sectors nobody gave a @#$% about two weeks ago. So what we’re seeing here isn’t so much rotation as it is desperation.
We’re cashing in on crap because that’s all that’s left. And when crap leads, it’s a warning, because the next stop is usually down the drain. Add in collapsing volume and a quiet VIX while skew rockets higher and you’ve got all the components of an impending <flush!>
I’ll walk you through what’s really driving this market, show you where correlation just snapped back (spoiler alert: that’s bad news for tech), and why volatility is waiting just beneath the surface.
This is where things get interesting…
