Post Rally, Risk Off Ahead of Holiday Makes Sense

We got the rally I called for at the start of the week. Taking risk off ahead of a Fed Chair appearance and a long holiday weekend is probably wise for some investors now. In this new age of Fed hawkishness and terrorism, carrying vulnerable shorter term risk here near all-time highs just does not make sense. However, long-term investors take risk off through asset diversification and good stock-picking. Those with shorter term interests may want to employ option protection, volatility instruments, counter positions using ETFs or even by taking a portion of profits, even if it’s just temporarily. See the whole story here: We Called this Week's Rally - Taking Risk Off is Prudent Here.

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