US stock market generally speaking, is not an easy place to make money.
Gains have been concentrated either in few stocks or in an index.
After World War 2...It was industrial, railroads stocks
Then came nifty fifty
Then came Technology boom with PC
NOW it is all about AI
IF you are stuck in wrong stocks or in wrong sector...wait is endless to make money
Thus It is important to sense a change which IS taking place
It was almost 17 to 19 months ago that we made new all time highs in key averages....
Markets may have been slumping since BUT some key stocks are back to new all time highs while others lagged badly.
Thus It is important NOT to focus on headline numbers OR what is happening in majority of stocks....focus on emerging stocks which IS generally not talked about...
In order to get your focus right, It is important to see where general strength IS...
Based on latest RSI read ....Nasdaq remained hot hot hot with 67.83 RSI
SOX is second hottest with a read of 65.22 RSI
S&P 500 is in 3rd place with 60.34 RSI
The above read is important for those who want to invest / trade ETF
IF you want to know how far major indices are from all time high...
S&P 500 is only 12.45% away
SOX is only 21.2% away
Nasdaq is only 21.9% away
There is serious rotation happening on a daily basis, so it IS a trading market, daytrading or swing trading should be the focus....getting singles instead of home runs should be the style....
IF you look @ MSFT, AAPL & NVDA...these stocks are in new all time high arena.....CMG is doing great.....
BUT all the above may be taken over by new and emerging stocks...that is the issue with looking in rear view mirror.....
SO...do your own due diligence and find stocks which may " outperform " past / recent winners.....
Good luck with your own analysis and conclusions...
BLOG does NOT give buy or sell.
Saleem
5 comments:
Hi Stocktrader,
Last week UP 1.96%
YTD UP 63.34%
Saleem
Hi Stocktrader,
Bought SNAP @ $9.90
Saleem
Hi Saleem,
Last week: +7.32% (YTD: +55.17&)
Portfolio Leaders: IONQ SYM TOST PINS
Portfolio Laggards: ZENV ENPH
Some standouts in the portfolio helped propel gains in an up/breakout week for the indices. Although the debt ceiling debate rages on, we know how this ultimately ends, and so positioning for the resolution is key. Technology has once again taken center stage thanks to an anticipated AI revolution, but I think it is still important to be balanced because I expect a steady economy with wages and profits holding at high levels. This means we are likely to see the "rolling bull market" of past great gains in stocks. I will be opportunistic with some profit taking and reinvesting as certain stocks get too stretched up or down, but have basically settled on my core group for now.
Holdings: IONQ PINS SYM ENPH LYFT HIMS SCCO TOST ZENV, cash 0%
Stocktrader
Hi Saleem,
Good luck with SNAP!
I read some positive notes about it over the weekend in terms of a maturing initial user base that continues to see it as their platform of choice for communication.
Stocktradeer
Hi Stocktrader,
Thanks for your research on SNAP, very helpful.
Outstanding week for your portfolio.
Saleem
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