Commentary

2/4/21 Current Signals xFF/x7 Growth vs Value

The daily octal signal was x6 near the close. That pattern of itty bitty weakness has been a feature for the last week or so. Maybe day traders cashing out after rare profitable OC excursions. By 4:15 the signal flipped back to x7 again.

Value was a little ahead of Growth for the 63 day period ending a few weeks ago but now Growth has a slight lead.

x7 has a different story though as Growth is making positive returns OC while Value is not. Growth is making twice the return of Value CO. Growth is making almost all it’s money on x7, suggesting that if x7 doesn’t happen it is not bad to switch from growth to value.

The 3x Bulls are doing OK. LABU at 1.00 CC and TNA at .92 and SOXL at .78 for the period are doing substantially better than doubling the original investment. 1.00 is getting close to tripling. The underperformance of LABU CC and OC with x7 is notable. The couch potatoes (TQQQ) play OC pretty well.

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