First, a bit of housekeeping: I have two trading accounts: a small one (labeled X-Personal in my shared watch list), which I use for more aggressive, very short-term trading, and a much larger one (labeled X-Socialtrade). I have gone ahead and sold my puts (XME, XOP, TLT) in the personal account and am 100% cash, just because I’ve scored a bit more than a 100% profit for the year and want to put a nice bow on the account and not think about it until 2023. As for the big account, I’ve lightened up somewhat (15.5% cash) but am otherwise staying put.
I wanted to mention that the EUR/USD is approaching major resistance and, should we see a resumption of Euro weakness, it should help dive equity prices down again.
More broadly, the overall US dollar index ($DXY here) is holding a well-formed cup with handle bullish pattern, and a “lift-off” from this base would be a powerful ally for equity bears.
