The 3 Min Alpha Brief

As noted in our last update, we successfully sidestepped the bulk of the late October correction by reducing our positions early (Oct 8-10). While the market found a local floor and bounced on November 20, the data suggests the "risk reset" is not yet complete.

• US Equities: The Final Flush We anticipate one final washout to SPX 6400 (QQQ ~550) to finish the job by mid-December. It is important to note that a high-volatility event could briefly "wick" prices down to 6250 - we view this as the "scare" level, not a crash. Expect defensive, ranging behavior this week as the market digests the macro backdrop.
  
• The Pivot: A Line in the Sand The critical level to watch right now is 6750. If the market can hold above this level throughout the week, the bottom may already be in, and we will re-evaluate. However, any failure to hold 6750 confirms our primary scenario, and the lower targets are live.
  
• Strategy: A Generational Rotation We are shifting our focus to select "Generational Low" plays - specifically Offshore Drilling, Energy, Metals/PGM, and Cannabis. In these sectors, value is undeniable regardless of broader index volatility.
  
  We are buyers of this dip. If you are a subscriber, you should know our plays by now - and have already reveived the signals on Telegram and Discord.