American equities might be printing new highs, but leveraged ETF flows are suggesting a market that is becoming more tactical rather than euphoric. Edward Egilinsky, managing director and head of Alternative Investments at Direxion ETFs, on Thursday said that in August, there was a move away from vanilla bullish wagers to hedging and taking profits.
“You know, everybody that’s watching, it’s no surprise. The U.S. markets are at record highs, at least the large cap and mega cap stocks,” Egilinsky told Benzinga’s Premarket Playbook. “So what we’ve seen basically is a little bit of lighter flows in August in terms of inflows. We have seen mostly people looking to trade the bear side of a lot of these moves, looking for some level of retracement. And we’ve seen some profit taking in the bull product.”
