There was a lot of red in the market last week, which saw the S&P 500 down each session and five consecutive sessions going back to September 7^th. 

The good news is the “carnage” has only been 1.4%, which is impressive considering the average decline for five-day drawdowns since October 2016 has been 4.6%.

The key continues to be the action in those mega cap growth names that have skewed a lot of damage.

Portfolio Review

There are no weighting changes today in our Hotline Model Portfolio.

Today’s Session

The market looks to open much higher and I suspect the crowds are really back from summer vacations ready to rock and roll.

The S&P 500 has seen its 50-day moving average hold time after time during the current leg higher, but I’ll be watching the upside.

The first test s 4,540 while a close above 4,600 is the big breakout. 

Excited about the strong start to trading.  My Payne’s Perspective is ready – contact your rep or research desk.