US Stock market @ crossroad of Value vs growth....

 US stock market is facing a strange phenomenon of value vs growth.

TV pundits are pushing value as IF it is a new vaccine " a cure all for minting money "

Stock market always gives you so many confusing thesis that it is mind boggling....

All my trading life I heard " buy low sell high " nothing more nothing less and it has worked ever since stock trading has started...

There has been many variations of how to make money or invest or trade....all are different in terns of time allocated.

For investors it requires long term commitment generally 5 years or more....

Making money can involve daytrading.....go through 100 trades in a day and hope you have some coins left in your account....

Trading means swing trading, you allocate whatever time it takes to make a profit, hopefully it is here where my style fits in......

For each style of stock market involvement requires focus in different discipline of stocks from biotechs to much hated much maligned " technology stocks "

Every investor / trader is comfortable in different sectors of stocks, some do combine few sectors for better odds....

Back to value vs growth debate... in my world it is all the same....they are all stocks which gives you a chance to make money short term or long term.....

Not all stocks move UP or DOWN @ the same time, yes some sectors are out of favor for few weeks and some in favor....in my world it is called " rotation "...nothing new or earth shattering....

Currently so-called value stocks are " highly overvalued based on RSI " and technology are " deeply oversold " again based on RSI.....

This BLOG has always emphasized relative RSI numbers for switching around or playing rotation within sector or in different sectors..it works in all season irrespective of " genius prophesy on CNBC and in print media "

Here is a list of RSI as it stands now :

XLE         72.85

JETS       72.45

XLF         69.91

DOW       68.86

XLB        65.88

IWM       63.99

S&P 500 58.85

Nasdaq   50.19

SOX       48.45

ARKF    48.01

TAN       46.51

ARKK    44.56

TAN       46.51

I do not have to pin point which sector has enjoyed traders attention in last 3 weeks and which has been played out " for now "

Rotation happens within same trading day in sectors and in oversold sectors to make profit.....

We must pay attention to technical conditions of each sector as it is ascending as it pauses to catch a breath based on RSI.....it is called digesting gains....

SO I keep it it very simple, based on your own trading style and discipline, you can play " buy higher and sell much higher " but it may require more time than what you expect to get returns you are expecting.

I am more into singles with limited risk.....

Those looking for " homerun " need much more time like 6 months to 2 years.....

I feel good in booking profit based on relative performance.

SO value or growth......idea is to make money and not agreeing or disagreeing....

Good luck with your own value vs growth strategy, just make sure, you are not " too late for each party "

BLOG does NOT give buy or sell.

Saleem