There Is No Plan For Brexit
Bloomberg recently published a short Brexit Q&A. The excerpt below pretty much sums up the level of uncertainty surrounding the monumental and unprecedented task of having a country leave the European Union via Article 50.
Brexit And U.S. Stocks
This week’s video looks at the markets pre- and post-Brexit to gain a better understanding of the potential downside risks.
After you click play, use the button in the lower-right corner of the video player to view in
full-screen mode. Hit Esc to exit full-screen mode.
Leadership And Execution Issues
Not only is there no plan in place for Brexit, the U.K.’s government is also in flux after Prime Minister David Cameron’s resignation following last week vote. From The Wall Street Journal:
Investors face a range of question marks following the vote, including the makeup of Britain’s political leadership, the country’s future relationship with the EU, the long-term impact on business confidence and investment in Europe, and the response it will prompt from policy makers and politicians around the world. “There are just so many moving bits…it’s a highly uncertain future,” said Mark Harris, head of multiasset at City Financial in London. ”To say that I’m stunned is an understatement,” he added.
S&P 500 Breaks Support Intraday
In the United States, the S&P 500 dropped out of its multiple-month trading range (green box below) during Monday’s session.
Monday’s session also was marked by very strong trading volume in the S&P 500 ETF (SPY), which continues the concerning trend outlined on June 22.
This entry was posted on Monday, June 27th, 2016 at 12:03 pm and is filed under Stocks - U.S.. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.
Copyright © 2016 Ciovacco Capital Management, LLC. All Rights Reserved. Chris Ciovacco is the Chief Investment Officer for Ciovacco Capital Management, LLC (CCM). Terms of Use. This article contains the current opinions of the author but not necessarily those of CCM. The opinions are subject to change without notice. This article is distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. The charts and comments are not recommendations to buy or sell any security. Market sectors and related ETFs are selected based on his opinion as to their importance in providing the viewer a comprehensive summary of market conditions for the featured period. Chart annotations are not predictive of any future market action rather they only demonstrate the opinion of the author as to a range of possibilities going forward. All material presented herein is believed to be reliable but we cannot attest to its accuracy. The information contained herein (including historical prices or values) has been obtained from sources that Ciovacco Capital Management (CCM) considers to be reliable; however, CCM makes no representation as to, or accepts any responsibility or liability for, the accuracy or completeness of the information contained herein or any decision made or action taken by you or any third party in reliance upon the data. Some results are derived using historical estimations from available data. Investment recommendations may change and readers are urged to check with tax and investment advisors before making any investment decisions. Opinions expressed in these reports may change without prior notice. This memorandum is based on information available to the public. No representation is made that it is accurate or complete. This memorandum is not an offer to buy or sell or a solicitation of an offer to buy or sell the securities mentioned. The investments discussed in this report may be unsuitable for investors depending on their specific investment objectives and financial position. Past performance is not necessarily a guide to future performance. The price or value of the investments to which this report relates, either directly or indirectly, may fall or rise against the interest of investors. All prices and yields contained in this report are subject to change without notice. This information is based on hypothetical assumptions and is intended for illustrative purposes only. PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. CCM would like to thank StockCharts.com for helping Short Takes create great looking charts Short Takes is proudly powered by WordPress . Entries (RSS)