Meta Strategy Trading Portfolio – Probability Map Update.

Consolidation Season

The model trading portfolio switches to summer mode: Fully hedged, I await a consolidation period that is inevitable to arrive sooner or later.

The rate of ascent of the rally since the April low is set to reset, because a gain of more than 25% per quarter is not sustainable.

However, it is difficult to time the coming pullback within a very positive, long-term momentum environment.

The best one can do is narrow down the most likely pullback range and pinpoint high probability time windows of weakness.

It helps to study historical parallels closely: What happened going forward after deep V-bottoms when new ATHs were reached and after 25%+ 3-month rallies?