And a bounce...

High Beta gets a bid here!

Small cap value momentum strong —>

And I can see a small 1 week (it needs to be 4 weeks!) relative strength pattern in the big cap growth compounders —>

Shorting systems tanked yesterday, but not yet enough, no lower low so far! —>

Its looking interesting, might be all a one-week wonder, let us see!

So first of all I am happy that I shorted the Russel and not individual names to protect the portfolio (the following is my system book and a 30% short on IWM.

So, when both happens, we can lift the short and let the system book run without it.

For now, I stay protected with 30% and another 25% short position on IWM.

And almost all year on the small cap value momentum names:

Secondly the short will stay on as long I do not see the following:

• A pullback

• Strength of high beta, small cap value momentum and mega cap growth compounders, e.g., pull back less.

Something we saw last spring and around the 18th of September on the mega cap growth compounders:

And almost all year on the small cap value momentum names:

So when both happens we can lift the short and let the system book run without it.