Getting out of the stagflation play!

Deflation in the making!

I am getting out of the hedged small cap value momentum book (step by step, will take some time!).

We might get a last bounce of the inflation trade, but I am scaling out here.

I am up 11% in Dollar Terms (was up 16%) and I need to protect the slim gains.

Also, I do want to time a $TLT long trade and want to concentrate on that.

Behavior of small cap value momentum is not good:

Sell Signal: Current Price lower than last month’s low —>

Inflation based Countries selling off (Canada, Qatar, Saudi Arabia!).

China is a good play here, but not (long only!) within a sea of red!

TLT has no monthly buy signal, but a change in behavior. So, I am calling deflation here! This could flip flop for a while, but we will get to deflation sooner or later!

ETF Portfolio:

I close the book with a 3.26% loss (beating the Russel by 11.6%, not bad, not good either!)

New Book:

XLP (long, so keeping!)

TLT (long, new!)

XLU (long, so keeping!)

ASHR (China relative strength play, new!)

Short IWM via RWM (increase!)

See weightings here, rebalance weekly (so the weightings stay constant!)

Geeeee, this stagflation / deflation game is difficult!

Have a great weak!

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The information on from Andreas Himmelreich / QuantStrike and this video is for information and discussion purposes only. It does not constitute a recommendation to purchase or sell any financial instruments or other products.  Investment decisions should not be made with this video, and one should consider the investment objectives or financial situation of any person or institution.

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