Market is ok, but shows negative diverging

Market is ok at the moment. Uptrend is still very much intact. However, some negative diverging shows up in S&P and QQQ. Which tells us it is time to be cautious. Add some protection and raise some cash.

By that said, small cap seems hanging inside oversold zone. I think it might perform better in coming weeks. So there is really no reason to be very bearish nor very bullish. And absolutely no reason to sell all because of fear of 20% correction.

Refer to my previous article, I am up 50% in TWTR, 23% in FB. 2 out 3. And waiting for ISIS to pop.

Another point is that people once again start to recognize China stocks. So I am selling FXi and KWEB here.

[alongway]

Got it. Thank you very much for posting!!

[越王剑]

I sold FXI at current level. Although China is doing better recently, index already reflects that. I don't see big upside from here. Instead, US small caps almost had a collapse that few likes it. So I am buying it.

[alongway]

Good call on TWTR and FB!

Are you selling FXI or buying FXI? Thanks!