China indeed responded to U.S. tariffs

Past week recap:  Finally a second week-in-a-row of consistent institutional trading sentiment – a very large down week on par with the original big down week that started February – after six weeks of neutral see-saw action.  China indeed responded to U.S. tariffs by imposing their own on U.S. imports, signaling a potentially larger and damaging trade war between the two countries and institutions responded by exiting many stocks.  The mid-week Fed rate hike was expected and was a non-event.

 

Most of our short positions were profitable, while many long positions were not, although a few did at least hold steady or gain.  Certainly fewer highlights and gainers among our list currently than normal.

 

While we have struggled with a choppy market since Jan 29, we at least have some new short gains and some intact long gains, so are far better off than passive investors who have forfeited all their gains back to last October, as measured by the major indexes.

 

Highlights:  1 new weekly highs in long positions.  6 stocks with double-digit long gains:

  • EVTC +20%
  • FTK +32%
  • URBN +68%
  • BXC +226%
  • LQDT +25%
  • PES +22%

Locking in long gain of +21% in LPSN (5 weeks).

 

3 new weekly lows among short positions.  3 stocks with double-digit short gains:

  • BZH +12%
  • CBAY +10%
  • SGU +11%

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