Tech Bubble Reaches Even Greater Heights
Tech Rally Continues Nothing can stop tech stocks. According to a survey of investors, 70% think the big tech stocks will rally at least 5% in the next year. Only 13% see big tech falling. Only 3% seeing it fall 20% or more. In essence, no one sees a big decline coming. This is extreme…
Consumer Spending Is Stuck
Survey On Recovery Initially, in March and April people were calling for a depression. Price changes sentiment, though as people got more optimistic as the stock market recovered. It was very difficult to quantify what was going to happen because we didn’t know much about COVID-19 early this spring. After the initial recovery data was…
Safe Stocks Surge to New Highs - Opportunities You May Be Missing
While most traders are focused on flashy and popular stocks - understandably so - some safe stocks continue to trade stealthily higher in ongoing uptrends now and through most of 2020. What are these stocks and what stocks are we seeing make new 52 week highs, and in some cases new all time highs? And…
Speculation Like Never Before
Big Monday Rally In Tech This stock market is like a machine. The market started August and the week with a modest rally with tech outperforming. Rationally, you’d think this rally in tech can’t continue, but it keeps proving everyone who cares about valuations wrong. Specifically, the S&P 500 was up 0.72% as the big…
Congress Still Debating On Stimulus
Back To School It’s tough to overemphasize how important having kids go back to school is. Online college isn’t an issue. Some people believe going to college is about who you meet, meaning if you can’t go it’s not worth it. However, there are tons of people waiting to enroll at a prestigious university even…
Market Breakout to Breakdown?
AAPL and MSFT have a combined market cap of a whopping $3.5 trillion dollars and were the only 2 stocks driving the market higher today. To put that in perspective these 2 companies are valued at more than 1/8th of the entire US national debt. At the same time the market is still in a…
FANG Dominates The Market: Can You Go Long Anything Else?
COVID-19 Update There is a seesaw-like relationship between the number of COVID-19 tests and the positive rate. If there is a huge spike in tests, cases will likely increase modestly and the positive rate will likely fall. If testing falls, cases fall and the positive rate rises. That’s what we saw on Friday. As you…
Apple Explodes After Reporting Earnings
Slight Final Decline In Consumer Sentiment July University of Michigan consumer sentiment index fell slightly in the final reading as compared to the preliminary reading. It fell from 73.2 to 72.5. Data looks much worse when compared to June as it’s down from 78.1 as you can see in the chart below. This was a…
Market Divergences Grow at Alarming Levels
SP500 upper end of range, breakout or breakdown...no matter! Backspread! 5 firms and the fate of the markets Comparison - divergence grows to alarming levels, when in market history has concentrated risk been a good thing? Earnings are great, unless your living in the (real) non-tech world.CATEnergyFinancialsRUT Roo Gold, Bonds, a rally of everything or…
Apple, Amazon, Alphabet, & Facebook Go Bananas
Extreme Moment Is Here FANG stock reactions could be more important than their earnings reports because ServiceNow raised its guidance and fell. That being said, for the most part, the reports were better than some thought they’d be. Interestingly, AWS did miss sales estimates, but the stock rose after hours anyway. Sentiment is so positive;…