Time for Hedges

By John Del Vecchio and Brad Lamensdorf The market is extremely overbought and greed is running high. It’s time for hedges. The CNN Fear & Greed Index is now at yearly highs after surging the past two months. The percentage of stocks over their 50-day moving average is also stretched to the upside. Sector breadth…

Beware the Rally

By John Del Vecchio and Brad Lamensdorf The market is incredibly overbought. However, recent action is indicative of a classic bear market rally. If history is a guide from here, the rally will likely be short-lived. The chart on the next page helps put bear market rallies in perspective. The DotCom bust let to a…