Defense All Week

The week ended the same way it started. Defense was the name of the game.

Swing posture: RISK OFF all week.

Breadth: NO across the board.

The market is choppy, indecisive, and respecting resistance. You can’t buy the breakouts or short the breakdowns. Sell the rips, buy the dips intraday — that’s been the only play.

$680 has been a line in the sand for $SPY. Every time we traded below it, a bid showed up out of nowhere and pulled us back above — until Friday.

On Friday, we got a decisive break and closed below $680.

Drones — a theme that might be getting some traction.

$PDYN (AI Drone Autonomy) had a great day after reporting earnings. The stock was +31% pre-market. Gave up most of the gains the next day. (I’m long).

$ONDS tried breaking out twice but couldn’t gain any traction. This stock is the fade king right now. Every time it gets going, a seller shows up and knocks it back down.

$UMAC — bought on 3/5, took off immediately, +15%. I trimmed most of it since they report Monday morning.

$RCAT was beautiful on 3/6 until the afternoon. Printed an inside day, broke the previous day’s high early, and was up as much as 20% before fading. The fade came after a report claiming they didn’t win any of the Department of War contracts they were expecting. Still, it had a decent intraday move on Friday — enough to take advantage of.

Bottom Line

We’re hostages to Iran headline risk now.

But more importantly, nothing has changed under the surface — swing posture, breadth, regime, all red across the board.

The Daily View needs to change before any real action can be taken.

Managed Accounts

I run these same strategies inside managed accounts through Zor Capital LLC. Separate accounts at Interactive Brokers. Full transparency. No lock-up.

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