Complete collapse, as expected and signaled by the deeply negative spread score. You ignore risk spreads at your peril. Scores now as negative as at depths of 2015,’11 and ‘08.

The weekly Counter-trend model has given a buy signal and we will be buying SPY.  This model has a -3/+5% risk tolerance and an automatic close after 15 trading days if neither achieved. We are in Risk OFF, so this is a trade, NOT positioning.  All we are looking to do is enhance returns.

Individual shares have been pummeled and some very bad damage has been done to a variety of leading shares that have been flying high.  I encourage you to work with the Database to see if your portfolio needs to be changed in composition.  High quality shares are likely to outperform high beta names going forward.  The name of the game has changed from Growth to Capital Preservation.

A video of my detailed expectations for the near term can be viewed at https://youtu.be/XNPKGDpfF8U

EN
ES EN