Market Comment 11 10 2011

The markets had a big down day yesterday. There was no place to hide as all sectors were slammed. In spite of the extreme volatility we remain in a medium term uptrend. At the moment, futures are indicating a strong upside open. It will be constructive if gains hold thoughout the day. If, on the other hand, we can not hold on to gains this rally is in trouble and I will take defense action.

The Core Equity folio is currently invested in the defensive stocks, about 50% invested. Position include ABT. EXC, IBM, MCD, PFE, SWY and SO. The Aggressive Dicretionary folio is invested in high growth stocks, fully invested. Positions include CLR, DECK, FIO, ISRG and UA. The Discretionary folio has a 50% position in the S&P 500 ETF, SPY.The Sector Rotation folio has 25% positions in XLE, XLB and XLK. The Inflation Hedges folio is 100% invested in GLD. Flexible income positions include JNK, LQD, TIP and LTPZ. All GWM models have a comfortable cash positions.

Indepth holdings information can be obtained by visiting the GWM website. Click on the "Portfolio Holdings Lookup by Symbol" link under the Clients tab. Then, click on the first GET QUOTE link and enter the symbols that you are interested in.