Author: Jesse Barkasy
Covestor model: Trend Following
A nice rally occurred at the end of June and The Trend Following Model was able to receive some nice gains out of a few stocks. Nationstar Mortgage Holdings (NSM) was among the best-performing stocks for us. It seemed to hold well during the correction in May and has trended well for us so far.
We see a few potentially bearish trends on the horizon due to the predicted downward revisions in the future sales numbers at Ford (F). Boeing (BA) also has announced that they predict slower growth for the future. The European Union has several countries in recession and China’s numbers seem to be indicating slower growth than previously expected.
For this reason we may pause and take a defensive posture in July and see how the market digests this news.
The moves in stocks are very fast with quick reversals. The Trend Following Model is currently trying to take advantage, protect and adapt to these kind of moves.
We will keep studying the markets and see if we can continue improve our performance.
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