United States

Time to Turn Defensive

Cross Asset Strategy
198 Views, 17 Jan 2022 05:14
EXECUTIVE SUMMARY
  • We wrote a week ago that investment-oriented accounts should turn cautious on the stock market, but traders shouldn’t be ready to turn bearish just yet.
  • The sell signal has arrived and the tone of the stock market is turning decidedly bearish.
  • Technical internals are deteriorating and our base-case scenario calls for a 5–10% pullback. A downdraft of 20% represents an outlier case but would need a major catalyst.
detail (7-minute read)
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Cam Hui
Cross-Asset Strategist & Quantitative Analyst
Pennock Idea Hub
United StatesEquitiesCross Asset Strategy

Cam Hui has been professionally involved in the financial markets since 1985 in a variety of roles, both as a quantitati... 

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