Monthly Update, June 2024
Past performance is not indicative of future results. Trading is speculative and involves risk of loss.
View Tearsheets here: PERFORMANCE DETAILS - Soaring Pelican
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Recent Program Performance
Activity was relatively low in our programs during the month of June as volatility slowed on both the intraday and daily timeframes. A small pullback was enough to get the Overnight Advantage program involved, but for the most part it seemed that the stock market corrected sideways and absorbed selling pressure.
Lately we have discussed with clients the opportunity to time their investment in the Soaring Pelican programs. Analysis of our returns indicates that the program makes an intra-month pullback of about 2% a few times a year. Entering the program during this phase or adding to an investment has historically been very advantageous.
Reach out to us for more details.
The Big Picture
The US stock indices show remarkable strength, although the breadth of the support is severely limited to a small number of issues. One indicator of this is the number of issues reaching new 52-week highs not matching each new push. Evidently this is immaterial in the short term as sellers remain on the sidelines.
Technically, the market made a notable data point mid-month with a strong gap up that still remains open. These gaps are typically seen as the mid-point in a move higher. If this is the case then there is the possibility of a move 6-8% higher from current levels.
It's very difficult to buy high and sell higher, but this is the type of market where that works - momentum is intact and there is no overhead technical resistance.
That being said, we have timing signals indicating that the end of July could be a significant turning point, so the quick strong move may exhaust itself in the short term.
Our Outlook
We will refrain from making any forecasts in this invironment. In this game of musical chairs, it is wise to keep close stopsand be ready to go to cash.
When a parabolic move like this exhausts itself there is often a stratospheric move as the last of buyers are drawn in. At that point there is no one left to support the move, and the 200-day moving average is a long way down.
Best Regards,
Sam Beckers and Dario Michalek
Soaring Pelican, LLC
805-322-7393
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. FUTURES TRADING IS SPECULATIVE AND INVOLVES A HIGH DEGREE OF RISK.
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