Does your portfolio have short cover?

It has been a turbulent week in the markets. The Nasdaq opened on Monday with a little optimism, only to see it be the worst hit and drop 5% over the next 4 days. In the trading world, that’s a lot.

We have said many times that, as the world starts to recover, the Nas100 will be hit first and hardest, as capital needs to be redistributed to value stocks around the globe. If you wish to read our most recent article about this please click here.

In short, along with retail buyers, institutional money has been put into big tech to keep it safe, but now we are starting to see the light after the virus and it’s time to look elsewhere for yields. Having said that, our article this week showed exactly why taking profit on the best stocks can often be a mistake.
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As we said, it’s been a difficult week for the individual stock pickers, which is why we always recommend complimenting your portfolio with a futures trader who can provide some hedging in a falling market. From its close on Monday, the S&P has fallen 3.5%; in the same time, The American Research House has made 5% profit for all the accounts autotrading them. They have been short this week, and provided some respite for investors on the platform.

If you would like to arrange a call with our team to discuss any of our strategies- schedule one by clicking here.