The S&P futures are currently trading over 10 points below fair value. I was not expecting this deep of a pullback but still believe that the bulls deserve the benefit of the doubt in the coming days.
My reasoning for a near term bullish outlook has not changed. The very negative sentiment towards equities and the oversold condition of the market should buoy the markets. Seasonality is still negative but the most negative part of the seasonality has passed and will soon turn positive.
In my portfolio I have been sticking to companies that are cheap, have less economic sensitivity than average and are actively repurchasing their own shares. This tactic has started working very well in the past week. Over the course of the Summer animal spirits will likely remain subdued. Holding value names where companies are aggressively buying their own stock will likely continue to outperform under these conditions.