August 29, 2022

Markets:

Stock futures fell Monday as worries over rising rates and tighter monetary policy added fuel to a rout that began in the previous session.

Wall Street was suffered a sharp sell-off on Friday, when Federal Reserve Chairman Jerome Powell’s short and blunt remarks in Jackson Hole, Wyoming, appeared to extinguish hopes of the central bank changing its aggressive course of rate hikes in the months ahead.

Meanwhile in Europe over the weekend, European Central Bank board member Isabel Schnabel warned that central banks must continue to fight inflation — even if it tips economies into recession.

The world’s largest digital currency tumbled 5% from Friday’s close to hit a low of $19,526 overnight, a level unseen since July 13, according to Coin Metrics data. Other major digital tokens also sold off, with ether falling to $1,423, its lowest level in a month.

The dollar index on Monday hit 109.478, its highest level dating back to Sept. 16, 2002, when it reached 109.67.

Portfolio:

We enter the new trading week holding positions in FIGS, NKLA, ET, CNHI, and TELL.    We watched price activity closely on Friday and today, at the open, plan to as well.  We have lots to digest here including the 50 day moving averages on the indexes.  This selloff could be very short lived or we have a pathway below for a strong downtrend.  Technically, this can go either way and in no way should anyone try to front run this move until it develops.  Watching it closely and we will remain in sectors that continue to work.  Queue is still super active and this price activity will only continue to drive super set-ups.  Be ready today and let's have a great week!