August is ending. I’d bet most investors would embrace a healthy change of scenery. I bring good news. History says a massive rally is coming soon. While on the surface that’s a welcome adjustment, there’s a caveat. Low liquidity Augusts typically spill over into seasonally weak Septembers. It’s a recurring playbook that we know oh-so-well…. Read more »
It’s hard to surf in choppy waters. Messy disorderly waves create a challenge to hang ten. The same goes for the stock market. Volatility is keeping major indices bobbing and weaving. If you’re waiting on the all-clear signal for stocks, keep waiting. Institutional money flows still point to near-term weakness. No doubt about it, it’s… Read more »
It’s amazing how timely seasonality strikes. Just when the crowd felt the coast was clear, a pullback ensued. When the tide goes out of stocks, they fall. They should just shut the markets down in August and September and reopen in October. Those powerful words were uttered by a portfolio manager friend of mine years… Read more »
The summertime blues are here. Right on cue, markets are taking a much-needed breather. While that typically elicits unhappy emotions, it’s not all doom and gloom. One rare signal points to big upside for energy stocks. Let’s rewind. Just 2 short weeks ago, I told you to prepare for a summertime pullback. The stage was… Read more »
Most investors eventually learn that stocks follow earnings. That’s a fact. However, when it comes to the best of breed outlier companies, earnings follow superstar stocks. Weeks ago, I had dinner with one of the largest hedge funds on earth. In our chat, we discussed markets, investor psychology, risk management, and more. These conversations are… Read more »
Roll out those lazy, hazy, crazy days of summer. – Sam Cooke Markets are approaching a seasonally weak time of year. It’s prudent to prepare for a summertime pullback. WOW, what a difference a year makes. Many have forgotten how just one year ago the crowd wanted nothing to do with stocks. Prophetic sermons of… Read more »
The measure of intelligence is the ability to change. – Albert Einstein Those 9 words ring loud and true in 2023. Right as the crowd was certain stocks were over, a feverish rally was birthed…and it’s not over. Today we’re uncovering the next superstar sector. If you want to be a successful investor, be open… Read more »
Animal spirits are back. You can feel the bullish breeze in the air. The sentiment shift is notable: Investors are plowing into ETFs. Yesterday’s inflation reading sent cheers throughout the trading community. The June CPI report stunned the crowd as prices rose only 3%, plunging from 9.1% only 12 months earlier. That’s wonderful news! We… Read more »
Markets flow like waves in the ocean, rarely in a constant state. The rhythm is cyclical, reaching crests and troughs. Stocks are approaching the red zone. Here’s your overbought stock market playbook. Most would agree that stocks are elevated. A year-to-date 16% rip in the S&P 500 has stunned the crowd. Even more impressive is… Read more »
“All of humanity’s problems stem from man’s inability to sit quietly in a room alone.” – Blaise Pascal This tenet applies to investing. Quiet observation reinforces our bullish 2023 outlook. Small-cap breadth signals further upside for stocks. Let’s face it, there’s power in silence and observing. Muting out the crowd noise has been difficult the… Read more »