Yesterday's Interim Alert described the hourly price charts of SPY and VXX as suggesting a new leg down was about to begin. And so it has. How far and how fast? Who knows? The key is to be cognizant of where the market is trending and our DOW/SPY model has been SHORT since February 2nd. The trend is down.
As I write this mid-day Thursday, only AAPL is LONG with the rest of our stock models SHORT. Four models have previously hit their profit taking stops: PYPL, BABA, DIS and AMGN. If you exited any of these as those stops were hit, consider going back in with at least 1/2 position. If you exited just 1/2 position when those stops were hit, sit tight.*
If you are underinvested on the SHORT side, UVXY (Long) is the easiest way to jump in and participate on the downside, while SPY puts and VXX calls are the most leveraged way.
*These same parameters apply to all positions that may have been partially exited in the Short-Term portfolio.
Next Update: Saturday, with Interim Alerts as needed.