US stock market is all set to rally to series of new all time highs....
US stock market has discounted many things which was troubling this TAPE and they are :
Fed policy of faster tapering
Delta variant is facing more and more vaccinated population resulting in fewer deaths.
OMICRON is not multiplying as feared
Shipping bottleneck is easing up
Inflation is @ peak as of Friday's CPI report
The above is a major break for market
Fed tapering schedule on Wednesday will cause a major rally as it will not be as feared, much more gradual increase than so called doubling of tapering.
US stock market is looking very undervalued despite new all time closing high in S&P 500....
Here is the RSI number to support my undervalued conclusion :
SOX 59.28
S&P 500 58.20
DOW 57.77
XLE 53.81
Nasdaq 51.55
JETS 43.84
IWM 42.07
XLF 39.05
TAN 37.80
This is the first time that I am observing not a single indices / index / sector is even @ 60 RSI..an extremely rare phenomenon despite S&P 500 hit a new all time closing high.....
Majority of the RSI are showing a read which confirms that this market has a long way to go up.
Please do your own homework and try to pick winning stocks in your universe.
We should be going much higher from here based on RSI
Look @ long term sustained gain in your selection of stocks.
Restart of economy stocks should gain momentum going forward as evidence are piling up that economic activity is picking up steam......
Technology stocks which are linked with Metaverse should gain momentum also...
5G related stocks also are a beneficiary going forward
Cloud storage related should do well
All in all from Energy, Airlines, Casinos, Hotels are all lined up for brighter days ahead.
Good luck with your own comfort level & take of where we are in the stock market cycle
BLOG does NOT give buy or sell.
Saleem
4 comments:
Hi Saleem,
Last week: +4.48% (YTD: +37.57%)
Notable Leaders: PLAY MNDY AA GMBL SNAP PHM
Notable Laggards: UPST BMEA HUBS
The rebound week for the markets helped the portfolio gain back some lost ground, but I still didn't see the sharp bounces for some growth stocks as Fed tightening fears and margin calls forced more selling. As we look to the rest of the year, I think the worst of the selling is over and we'll likely start that float up period. I hope I have the right mix of stocks, and will definitely be looking at some very beaten down ones late in December for fresh capital.
Holdings: ZIP UPST PINS RBLX SNAP AA PHM PLAY AGCO HUBS CXM ZENV GMBL BMEA, cash 0%
Stocktrader
Hi Stocktrader,
Last week UP 6.98%
YTD UP 3.55%
Saleem
Hi Saleem,
Sold SNAP @ 48.28 on lack of catalysts
Bought USER @ 9.10 on very positive initiations and runway for growth
Added to HUBS @ 725.61
Stocktrader
Hi Stocktrader,
Good luck with USER & more HUBS...
Saleem
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