EB Daily Market Report - Part 1 - Exiting Portfolios NOW - Tuesday, November 12, 2024

The rest of the Daily Market Report will be published within the next hour or two. I wanted to get the following information out NOW.

Exiting ALL Model & Aggressive Portfolio Positions

We are exiting using the prices from the ChartLists below:

Model Portfolio:

It should be noted that CAVA reports its quarterly results after today's close. We've seen a lot of huge spikes after earnings and CAVA does show excellent relative strength. We are not taking the risk into the close, but simply wanted to make everyone aware that CAVA does report after the bell today.

Aggressive Portfolio:

We've decided to exit for a few reasons:

• First and foremost, we want to lock in HUGE quarterly profits.
• Second, it's options expiration week and many of our portfolio stocks have a TON of net in-the-money call premium, so we don't want to chance being manipulated lower
• Nearly every stock is very extended, even massively overbought
• Negative divergences on hourly charts are running rampant

Listen, bull markets can ignore ALL of these secondary indicators, and simply move higher based on price alone. But there's a lot of profit on the table, why take the chance? If we do see a bit of selling (and I don't expect a massive selloff), it'll benefit our portfolios that much more.

We will revisit many of these portfolio stocks, and dozens more, before we ultimately select our portfolio stocks for next quarter.

Because the Income Portfolio has not jumped like the Model and Aggressive Portfolios, we don't have the same problems. We'll simply hold them through next Tuesday's close (November 19th).

We'll be back a bit later with our normal Daily Market Report.

Happy trading!

Tom