Low Low Low Low...28th December 2022

🖼 Daily Technical Picture 📈

"Shawty had them apple bottom jeans (jeans)
Boots with the fur (with the fur)
The whole club was lookin' at her
She hit the floor (she hit the floor)
Next thing you know
Shawty got low, low, low, low, low, low, low, low"

➤ That's the lyric from the song by Flo Rida. I had to look up the meaning of "Shawty". It is usually a reference to a young and attractive woman. Sexist or not this term nicely describes what's happening with the NASDAQ and the sexier (ahem...speculative) tech names. It looks like it wants to finish the year low low low low.

➤ The whole club (market) was indeed lookin' at her. All imagining the boundless future you could have together...except like many, we were late to the party and the music was about to stop. She's been dancing on the floor this whole time. Next thing you know, she literally did hit the floor in the most unflattering way along with all our dreams.

➤ OK, that's a bit over dramatic but you get the point. As usual, the masses piled on late to an overinflated market and that meant the party was about to end.

➤ With today's price action, once again we had a false dawn. Pre-market was firmly positive only to see it whither away by US market open. NASDAQ leading the indices lower. It's not pretty and getting tiresome.

➤ I currently hold 0% exposure. My US positions were cut today. The maximum portfolio exposure is +/- 200% on capital, the level of highest conviction.

➤ Conclusion: Back on the sidelines.