Commentary

6/15/21 Homogeneity

Looks like everyone who spent a lot of time on broad based ETF selection leading up to Apr 23 was wasting their time. Sometimes a chimpanzee and dartboard are all it takes. Very high winning percentages CO, but the gains are chimp change.

The action consists of maneuvering with investors reluctant to increase or decrease position sizes. The homogeneity seems unusual to me especially around highs. This could go on for some time, like most of the summer, but the distance between top and bottom of the ranges probably has to get larger. Probably, range expansion will be toward the downside, but there is a sense that most players are already positioned for this.

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