TG Watkins, Director of Stocks at Simpler Trading and editor at the Profit Pilot website, joins us to discuss the continued weakness he sees in many sectors, and that while these sectors have corrected in a big way, TG doesn’t see a discernable trend in them for now, and is waiting for more data to indicate a turn in those sectors.  This leads the discussion into sectors and stocks he’s been shorting or loooing to short on any rallies into resistance, like the semiconductor sector, or the mattress companies like Sleep Number and Tempur-pedic.  TG just recently conducted a 5 hour class on around shorting the markets, that can be found at his Profit Pilot website or at Simpler Trading, and we touched on a few ideas from that using inverse ETFs, straight shorting of stocks, and then option strategies.

Next the discussion got into a little life in the reopening stocks in the travel sector and we noted how there has been a few false starts in this area of the market over the last 2 years.  We wrap up looking at whether many of the growth stocks and tech names are so oversold that they may be apt to bounce, and TG offers cogent advice that he isn’t seeing positive trends in the market, in the pricing relative to moving averages, and the short-duration moving averages are still under the longer duration, all leading him to remain cautious to bearish until those metrics change, as stocks can always head lower, even if they seem oversold.

Click here to visit the Profit Pilot website to follow along with what TG is trading.