big down-day in both S&P and Nasdaq, registering just shy of a 90% down-day for S&P and 80% down-day for Nasdaq.
Short-term sell signals triggered across the board in the Lowry technicals. We notched up some significant outperformance in the ETF portfolios yesterday, having gone to maximum defensive positioning at the start of the week.
We are now outperforming in every strategy year-to-date bar growth (due to oil being in the benchmark). We were 4%-6% below benchmark at the end of Q1 (due to small caps and ESG / tech names getting hammered).
Also v. interesting that crypto largely unaffected by the sharp selloff. Initially ETH and BTC tracked the US equity movements in the usual way, however they recovered nearly all the losses overnight.
By contrast, US equity futures are only flat this morning i.e. no recovery at all. It’s only one day, but speculation of crypto de-coupling from equities will be fuelled by this. However before we get too excited, the trailing correlation of liquid crypto to equities remains between 0.7-0.8 for now.
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