The Early Take on the Market:
The ECB meeting, the ongoing healthcare circus, and of course, the earnings parade are in focus this morning. So far at least, Super Mario hasn't done or said anything to surprise the markets, which is being taken as a modest positive so far. In addition, there is some economic data on tap as well as a couple big earnings reports after the bell (MSFT and V). In the early going on Wall Stret, it appears to be largely more of the same - a steady march higher for stocks. Finally, our indicators are starting to perk up as our "trading mode" models now favor a "trending" environment. Using history as our guide, this means it is time to increase exposure to market risk.
Turning to our portfolio...
LEADERS Model: The LEADERS model currently holds Technology, Healthcare, and Materials. As for performance, we continue to be pleased as the LEADERS model is up +14.5% ytd compared to 10.5% for S&P 500.
CORE EXPOSURE Model: The CORE model's exposure is now below today's target at 50% vs. 100%. As such, we will be looking for an opportunity to increase our Core exposure level in the near term.
TRADING Model: We currently hold trades in the India Small Caps, Eurozone, a dividend-payer ETF, and the emerging markets. We are on the lookout for a good setup to fill out our trading holdings.
How To Use the DDTS Models: We trade the 3 models independently to allow for the use of the models on a standalone basis. If we were forced to utilize just one model to follow, it would be the LEADERS for growth orientation, the CORE for a more conservative, risk managed approach, and the TRADING model for an opportunistic "value-add" trading ...