Relative Strength Conditions
Are We Heading for New Record Highs?
If you’re one of those “cup half full” kinda investors, or even if you’re not – here’s something to consider. We’re half way through what is long considered the most volatile month of the year – October. October can trace its rocky reputation to the fact that some of the more notorious market meltdowns have…
Read MoreWe have a market of stocks, not a stock market
We have a market of stocks, not a stock market (ie. S&P 500). And just because the stock market (an index) isn’t going up, doesn’t mean there aren’t stocks in that market trading higher – sometimes much higher… While the S&P 500 index, what most people think of as “the market”, has only managed to…
Read MoreIs Strength Returning to Small Caps?
Lets face it, small-caps have been a mess. As a matter of fact, the Russell 2000 index (RUT) has done nothing for 21 months. It’s been trading in a range between 1450 and 1600 since late 2017. RUT has bumped up against overhead resistance at 1600 no less than 6 times since January of last…
Read MoreDid the Market Just Flash a Major Buy Signal?
A very reliable technical indicator says yes. Monday marked an important day for the stock market. That’s because, with Mondays market movement, the Bullish Percent for the NYSE, A.K.A. the NYSE-BPI, reversed back up into a column of Xs. This means more and more stocks that trade on the New York Stock Exchange have been…
Read MoreThis Sector ETF is Beating the S&P By a Long Shot
Neither trade wars, inverted yield curves, nor Fed policy concerns could stop this sector ETF from gaining more than 2 times the S&P 500 this year… What a month! It has been just over a month since the S&P 500 (SPX) hit a closing high just shy of 3020 on July 24th, and while the…
Read MoreConsumer Discretionary stocks have crushed the S&P 500 since 2008…
If diversification is so good, then why have Consumer Discretionary stocks crushed the performance of the S&P 500 since 2008? XLY, the SPDR ETF that invests in consumer discretionary stocks, has delivered investors an eye popping 254% gain since 2008. That’s more than 2.5 times the return of the S&P 500 index fund SPY and…
Read MoreIs the Dow Signaling it’s Time to Get Off the Sidelines?
Most seasoned investors know you don’t fight the DJIA. And it’s wise to remember the market isn’t always trending up, or trending down. It doesn’t always have to be a top or a bottom. Most of the time, it’s just in the middle. And sometimes – like it has been since early 2018, the trend…
Read MoreFinding Strength in This Market
Renewed uncertainty surrounding trade tensions with China has sent global equity markets tumbling in recent weeks. This has sent many investors scrambling, seeking the relative safety of U.S. Treasuries and other fixed income investments. We don’t need to overcomplicate what’s happening. If money is flowing out of equities, it’s going somewhere. And a little technical…
Read MoreBetting on the Winners – Before the Race
Saturday, May 4th, marked the 144th running of the Kentucky Derby – dubbed the most exciting 2 minutes in sports. This year’s running lived up to its billing and was not without its share of controversy. At the end of the day a horse named Maximum Security won the race – or so we thought.…
Read MoreSell In May and Go Away?
Today we flip the calendar from April to May, and with the turn of the calendar we welcome warmer days. Trees are once again budding, birds are singing, and flowers are in full bloom, adding a pop of color to what had become a dreary landscape. And, like spring in New England, the markets have…
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