It was only yesterday that we moved the stop-loss for our open profitable short. The reason was the upswing attempt in the high yield corporate debt ETF. Today this very moment (12:30 Eastern Time), the situation has flipped completely. Stocks are holding up relatively well while HYG is having a bad day, trading below 73.80.

Should that price point hold, it means that either stocks will catch up and accelerate their slide going into the closing bell, or open with a bearish gap on Monday. Should that price point move lower, it’ll add to the pressure on stocks.

Either way, our open profits are highly likely to keep growing before Monday’s opening bell.

Have a nice weekend.

Trading position (short-term; our opinion): short positions (100% position size) with stop-loss level at 2590and the initial downside target at 2200.

Thank you.

Monica Kingsley
Stock Trading Strategist
Sunshine Profits - Effective Investments through Diligence and Care