Meta Strategy Trading Portfolio – Probability Map Update.

– Positioning Update Tuesday –

Back into the Box

Last week’s attempt to break out to new all-time highs has failed as the S&P 500 moved back into its consolidation zone.

U.S. Stocks have now gone nowhere for 3 1/2 months and I consider them rangebound until this box breaks

It is essential to remain patient and protect capital.

While we remain in a seasonal weak spot into March, a number of supportive factors continue to point to an upside resolution of the messy pullback: The current combination of bearish sentiment and moderate positioning with broad strength is quite powerful and has the potential to propel stocks higher into the summer.

Probabilities are in favor of U.S. equities following the successful breakout in European stocks eventually.