Last Friday’s session and the week could be summed up as “no winners,” as trade, saber-rattling, and an instantaneous retreat from the media, the elitists, and all the smart people added to the volatility that was the mystery game of the next presidential tweet.  The battle is joined, and I think more Americans, upon learning the facts, will side with the notion of making a stand now before it’s too late.

Leadership

I continue to think the market needs the leadership of the technology sector (XLF), but also consumer discretionary names as well. The S&P Consumer Discretionary Sector Index (XLY) is the best performer of the year, which is beginning to see mounting carnage in some areas.  

Meanwhile…

The economy continues to truck along with orders for Class 8 trucks, hitting the second highest level ever and the best quarter in history.

Investor Guidance

I’ll reiterate.

First and foremost, let me begin by saying that I think the absolute worst thing an investor could do is to sell stocks simply because they’re going lower with the broad market.

Moreover, when great companies like Boeing (BA) and Caterpillar (CAT) come under pressure from headlines instead of actual developments, it means any stock is currently vulnerable. 

The market held at crucial points last week, but the big question remains: what could turn this market around?  The biggest and most important earnings aren’t until this coming Friday with several big banks, so we could see meandering; and yet, by the same token, the market is oversold - big time.

Today’s Session

It’s great to see the market indicating higher at the start of trading, but big issues and concerns haven’t gone away, and we have the real issue of what to do in Syria after yet another brazen chemical attack.   There is increased hope about a deal on China tariffs and trade barriers, and growing positive anticipation over corporate earnings.

I’m very pumped and ready to pounce.