August 17, 2017
The First Shot Across The Bow
The stock market has taken some sucker punches over the past few months. But, it’s always seemed to take the news in stride. In fact, since the election, the S&P 500 has spent almost all of its days above the 50-day moving average, a smoothing mechanism that helps filter out noise. Today, however, it clearly broke the 50-day moving average. While we’re still less than 1% below the 50-day moving average, the character of the market has changed in the short-term.
August 2, 2017
Not Everyone Celebrating Dow 22,000
The Dow Jones crossed 22,000 today. But, not everyone is celebrating the historic move. Despite the Dow Jones (large cap stocks) rallying to a 6th straight high, the Russell 2000 (small cap stocks) has fallen 5 out of the last 6 days.
July 19, 2017
This Sector May Set For Big Gains
The energy sector is down over 8% in 2017. Specifically, Equipment & Service companies are down by over 25% as a basket. Oil & Gas Exploration & Production companies are down over 20% as a basket. This comes in a year where every other sector is in the green. But, energy has rallied in recent days. Is it another dead cat bounce or is is setting up for a bigger move?
July 5, 2017
Has Volatility Bottomed?
It’s no secret volatility has been low for a long time. While volatility is a normal part of investing, it makes many investors extremely nervous. When investors become nervous, they sell. Today’s chart shows volatility from 1990-present. You’ll notice it seems to go in cycles. If the cycles continue, the next move could be up […]
June 29, 2017
Tech Wreck On Wall Street
Technology has been one of the dominant forces during this market run the last several months. Led by the “FANG” (Facebook, Amazon, Netflix, Google (now Alphabet) stocks, technology has looked bulletproof in 2017. Until now. There was a crack in tech stocks in early June from which they never recovered.
June 21, 2017
In recent days, biotech stocks have broken out of a trading range and look like they still have room to run over the next several months.
May 22, 2017
This Industry Looks Good For A Bounce
The most hated industry the past few months has been retail. And, deservedly so. But, the tide could turn soon, at least technically.
April 11, 2017
Is Tesla’s Stock Price Justified?
Tesla’s (TSLA) market cap (the stock market’s judgement of what a company is worth) became larger than both Ford (F) & General Motors (GM) recently. The question everyone is asking is whether or not the Tesla’s stock price is justified.
February 28, 2017
The Reason For The Rotation
Despite record gains for the major indices, there’s been a subtle rotation into the safety trade in the last few day
February 14, 2017
A Chart We Love
Ok, the title’s a little cheesy. But, it’s Valentine’s Day.
The dilemma in today’s stock market: Do I wait for a dip or correction before buying stocks only to watch the market go higher without me? Or, do I buy at highs knowing eventually we’ll get a pullback and I’ll have a higher chance of having a loss, at least temporarily? In a market that’s getting harder and harder to buy because stocks are getting more and more expensive and seem to be making new highs each day, today’s chart is one sector that is worth a look.