If you take on debt in order to expand production, the extra output can make it possible to pay off the debt later, and you come out ahead. But when you borrow to increase consumption, all you’re doing is taking output from the future and consuming it now.
Deron Wagner's focus will be on ETFs with a low correlation to broad market direction, or at least specific industry sectors exhibiting relative strength (for long positions) or relative weakness (for short sales).
The weekly chart for the Nasdaq 100 (NDX) shows that a key trendline has been violated and that the critical level around 1650 would likely be tested in coming weeks.
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