US stock market is looking ahead 6 months, It likes what it sees.....
End of December is where US stock market is looking @....
Christmas time
New Year on the horizon
COVID-19 is in rear view
Full employment
Factories producing as much as market will bear
Inflation is helping Corporation profits
YES interest rates are in control around 2%
Business is booming
Travel is in full speed
That is a very good scenario for world stock markets
When was the last time we came out of any crisis so well prepared .....maybe after World War 2
The sector which IS the strongest in entire market is XLE ENERGY with RSI @ 67.74....surprise surprise...
Second best sector based on RSI of 62.91 is GOLD...surprise surprise
Third best is old & dependable DOW with RSI @ 62.63
Most of the major widely followed Indices are only 1 day away from making a new all time highs...notable among them are SLV...YES Silver followed by XLB...yes Materials....
S&P 500 and Russell 2000 are also staring @ new all time highs....
Guess what....Nasdaq is about 400 points away from making new all time highs....with an RSI of 56.68
Biggest laggard / bargain is TAN solar stocks with an RSI of 45.98 followed by JETS yes Airlines with an RSI of 49.98
SOX is fighting back with a respectable RSI of 59.18
Do NOT forget gaming stocks, they are red hot, casinos are packed and Barron's loving IT with a banner headline to buy MGM & BYD....roll the dice....YES!
SO...this is a snapshot of this " bull market " ready to roar again....to series of all time highs...
Please do your homework and be well diversified....things are looking UP!
BLOG does NOT give buy or sell.
Saleem
5 comments:
Hi Saleem,
Last week: -0.39% (YTD: +23.27%)
Notable Leaders: ESTC GMBL EH
Notable Laggards: PSNL GRWG PATH DV
It turned out to be a choppy week with most of the action revolving around the "meme" stocks. I think it took some attention away from other growth stocks, but the general market found some gains. I continue adding to my TZA position for hedging purposes as traditionally small caps don't fare as well during this time of year. Additionally, I remain skeptical that the powerful economic growth will continue at this pace with stimulus checks fading and things getting "back to normal". I think we may forget what "normal" meant prior to the virus - our world hasn't changed that much ultimately even if there is some short-term boost and unusual activity as people break out of lockdown mode.
Holdings: TZA BHVN DDD AGCO DV ESTC PHM PATH BMBL PSNL GRWG GMBL, cash 5.6%
Stocktrader
Hi Stocktrader,
Last week UP 3.18%
YTD UP 8.46%
Saleem
Hi Saleem,
https://www.aaii.com/sentimentsurvey
"JUNE 3, 2021
AAII Sentiment Survey: Lowest Pessimism Since January 2018"
Usually I'd take this as a strong negative, but I struggle to find an immediate catalyst for decline, but I guess that's how it works sometimes.
Stocktrader
Hi Saleem,
Added to TZA @ 28.67
Stocktrader
Hi Stocktrader,
Good luck with more TZA.
Sometimes old stats do not work, this may be one of those rare times....
This is not normal times in stock market for sure...
Saleem
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