Market review 23.05.21

Riding trends while staying alert

Hello everyone,

As usual: I’ll discuss the Intermarket (relative strength, correlations, and positioning), then look at the leading areas in detail, and finally cover the laggards briefly.

I made a few minor changes to my portfolio, shown as a pinned tweet on my private Twitter page. I’ll discuss these trades today as well.

Let’s dive in.

Intermarket

Many, including me, have often used the word “bifurcation” this year. And for good reason. The 20-week correlation between growth and value stocks just dropped to its lowest level in at least 20 years: