How to “Back Up (and Park) the Cyber Truck” for Tesla
Back in late October, I went public with my overweight position in Tesla. Those that have been trading with me here at TheoTrade know that I like to call it “backing up the truck” when I take on a bigger-than-usual position in a stock. The thing is, now the stock looks so good I might…
Stocks Are Catching Their Breath Now - And You Should, Too
We've seen a big shift in sentiment over the past few sessions, with players moving from enthusiastically bullish to increasingly concerned with downside risks in the market. There’s no denying we’re extended way up here near the highs, and, at this point, I’d welcome a couple of weeks of sideways price action, the better to…
TheoTrade’s Tale of the Tape: Here’s the Thing About the “State of the Consumer”
If you tune into the mainstream financial news, you’re probably hearing a mixed bag of reports when it comes to the state of the consumer. Some will proclaim that everything is awesome, while others say a Great Depression is imminent. I would take it a step further and say the doom and gloom is even…
This Is the New Emerging Market Economy
If you were around for my live session here at TheoTrade on Thursday, you heard me discuss how the U.S. has grown to account for nearly 65% of the value of the global stock market. Emerging and international markets have been left behind in the dust, and with the U.S. dollar reasserting its dominance as…
We Need to Tick One More Box to Unleash the Bulls
The rubber’s not hitting the road right now. Stocks are still hanging around their all-time highs, while the Nasdaq has yet to register a new one in a couple of weeks. For a while now, I’ve been looking for a new high there to confirm the way’s clear for the bulls to run. In other…
TheoTrade’s Tale of the Tape: The Odds of a Real Estate Renaissance
It truly is the most wonderful time of the year, not only because of the holiday spirit, but because of the sector leadership movements. Last week saw the real estate sector surge and capture the one-week leader position. I don’t think it’s just because people were home for the holidays, either. Instead, I think it’s…
The “Turkey Trade” Has Stocks Spinning Their Wheels
This trading pattern isn’t uncommon at this time of year as volume slackens a bit. Stocks are consolidating near their highs, while more tech stocks begin to behave bullishly. Disinflation is the name of the game, and that’s usually a good environment for stocks, especially Apple (AAPL) and Amazon (AMZN). The big exception here is…
TheoTrade’s Tale of the Tape: This Inflationary Sector Bounce Won’t Last
Over the past few weeks, we’ve seen a nice bounce in so-called “inflationary” sectors. Basic materials (XLB) emerged as last week’s leader, and over the past month, the top-performer is energy (XLE). But if you’ve been tuning into TheoTrade’s live sessions, you’ve heard me talking about crude oil’s imminent collapse. And finally, I think we…
The Markets Are Looking for Stability… And They'll Probably Find It
The markets were jolted this morning by the beat of war drums - an “update” to Russian nuclear doctrine said to be in response to Ukraine’s use of American missiles. This is only the latest setback for folks that have blindly chased the post-election rally. They've been feeling the pinch over the past week. But…
TheoTrade’s Tale of the Tape: Bulls Take It to the Bank
There’s a saying in life that goes, “Don’t judge a book by its cover.” Well, as it turns out, we shouldn’t judge the market solely by the indices either. It amazes me how, after just one week of selling, I’m already starting to see calls for a “Trump slump,” and for stocks to experience a…