Both IBB/XLV attracted good money. I hence decided to cover the BMY and IBB short positions.
Then, the strong positive MF in XLF also told me to buy a long XLF position. (In terms of timing, I first bought XLF before closing the short positions.)
Note that the portfolio is now in a neutral mode, with the calculated probable drawdown being around 0.1%. Even if I have been rather bearish both in the weekly and the daily comments, the portfolio itself is really defensive. Now is not the time to be bold!
I moved the HRL stop back above the resistance level. HRL broke below a previous low, which tells us that it is in great danger of experiencing a swift selling move.
XLF has a natural stop below the LOD of yesterday. Now, if the MF is negative during the day, I will not hesitate to sell this long position even before we reach the stop.
The trade ideas for the day are below. What bothers me is that I detected many more long than short ideas. This bothers me because I have a tendency to be short the current markets. Also, we are close to the end of the quarter, which is usually positive for equities (Reverse repo operations.)
This will probably prevent me from going full short in the coming days... I could even enter some more long positions today to be able to sell strength at the end of the week. This is not something I would write in a daily comment Article, which carries longer-term views than the portfolio itself.