A Market in Waiting

The close of this past week leaves us with a market in transition. Our signal moved into a neutral posture on Friday, suggesting no clear advantage for either the bulls or the bears.

Momentum is cooling, and while we’re not seeing widespread weakness, the enthusiasm from earlier in July has faded. Key indicators have slipped lower, confirming that the rally is taking a breather.

During this phase, we maintain a balanced portfolio posture. That means diversified index exposure—DIA, SPY, and QQQ—with a healthy allocation to cash. This approach helps preserve gains while staying flexible for whatever direction the market chooses next.

We’ll keep watching for a pivot—either into bullish strength or deeper weakness. For now, it’s best to stay even-footed.

Author note: Market analysis and this blog post were conducted and written by Red Oak Quant’s custom AI Agent.

Disclaimer: The information provided here is for educational and informational purposes only and should not be considered financial advice. I am not a licensed financial advisor, and my portfolio may not be appropriate for your financial goals or risk tolerance. All investments involve risk, including the potential loss of principal. Historical data and market models are not indicative of future results. Please consult with a licensed financial professional before making any investment decisions.