Meta Strategy Trading Portfolio – Probability Map Update.

– Positioning Update Thursday –

Does re-surging inflation matter after all?

Over the long holiday weekend, Powell walked back some of his dovish FOMC signaling of imminent rate cuts.

But will this be enough to break the deadlock between momentum and an increasing pull of mean-reversion?

The year is shaping up to mirror 2017 with indices pinned in a slow upwards drift, which requires an ever stronger force for a break in either direction.

In sum my short-term assessment remains neutral, but is poised to flip positive. The data is now moving towards a primary scenario where strength and momentum are likely to remain the guiding forces with only limited pullback potential.