PG on the weekly chart gained 15% in a year and had a dip in the past two weeks with earnings at the end of this week. PG persistently and consistently beats earnings estimates and pays a dividend. Moreover, it consistently has a bit of a surge after earnings. I see this as an opportunity to get a good stock on a 4% dip of a discount and hold it through...
All major sectors are strong, confirming SPX strength. There are minor signs of weakness on some charts but nothing serious yet.
Put together information on what is happening in major S&P sectors Majority of sectors are strong on the daily chart. There are some short-term problems on lower timeframe but they can be overcome. This is good for buyers as it shows that money is not leaving the market but moving from one sector to another. A lot will depend on tech bulls. XLK must clear 212...
Clear sector rotation has been observed a day before CPI data release on Tuesday morning. It seems traders are getting out of Technology ( AMEX:XLK ) stocks and defensive sectors like Utilities ( AMEX:XLU ), Basic Materials ( AMEX:XLB ) as well as Industrials ( AMEX:XLI ) have been climbing up. HIGHLIGHT: The chart depicts S&P 500 ETF ( AMEX:SPY )...
Nifty IT sector has almost completed the rounding bottom pattern. This consolidation phase was more than 2 years long. Thus, the probability of a sustainable breakout is high. I will look to go long in IT sector leaders via call options/ cash buys. What about you all? PS: Typical targets are the depth of the rounding bottom pattern which is 29%. This can be...
What Is Sector Rotation? Investors are always looking for opportunities to boost returns and reduce risk in their portfolios. One way to do this is by understanding and utilizing sector rotation. In simple terms, sector rotation is the process of moving money from one sector to another. In order to take advantage of positive market trends investors will want to...
I have wanted to do an overview video of Sector Rotation for Best of Us Investors for a while. In this video I give a high level view of the theory of Sector Rotation and how it can be used to forecast the flows of money into different sectors at different times in the market. I also include my current analysis of where the next sector rotation is likely to occur.
My last video on Sector Rotation was almost a year ago. The signals for where the money was flowing into and out of stocks was not nearly as clear as it is now. Stocks in Consumer Staples, Healthcare, and Utilities are considered Defensive plays in a market going down. It is clear by the winners and losers across the market and in my own trade calls which...
This week's dip on the AMEX:SPY revealed something important within the Sector Rotation model. For the last quarter the Sector Rotation model has been giving mixed signals following the clear predictive path it forecasted coming out of March 2020. This recent price shock provided a glimpse into where the money is moving right now!
Amidst a financial market strongly distorted by the thirst of control from the central banks & their monetary policy craze headed exclusively toward supporting inflating assets valuation, it's become more & more obvious prices no longer represent neither economic reality nor actual asset value (assuming they ever did). Therefore, in such a climate of financial &...
My last video about Sector rotation was in March 2021 where I talked about the Consumer Staples sector. NYSE:PG and NYSE:JNJ have so far performed to expectations. It is worth looking at the model once more now to see where the next potential money flow will be. From March 2021: Sector Rotation theory suggests that from market bottoms the two sectors that...
This morning I am putting on positions in NYSE:PG and NYSE:JNJ as long term holds. They both fulfil my thesis that if Sector Rotation theory holds the next sectors to outperform should be Consumer Staples and Healthcare. Both companies represent these two sectors in ways. I like their chart patterns as they are right now within pullbacks. These are also...
This morning I am putting on positions in NYSE:PG and NYSE:JNJ as long term holds. They both fulfil my thesis that if Sector Rotation theory holds the next sectors to outperform should be Consumer Staples and Healthcare. Both companies represent these two sectors in ways. I like their chart patterns as they are right now within pullbacks. These are also...
XLF seemed to avoid selloffs on Thursday/Friday where the rest of the market couldn't. Looking for further confirmation Tuesday/Wednesday 9/8 & 9/9
Visa looking good with a bullish flag forming as well as a clean retracement bounce off of the .618.
Neutral / Range Bound forecast for the week. Likely down and then up, ranging in the shown area. Selling short term premium on either side of range.
Market forecast is Midterm Neutral - Shortterm Bearish Bullish Sectors are: Healthcare and Energy Bearish Sectors are: Consumer Staples Financials and Tech
Pick Healthcare stocks at the bottom of their range with you favorite buy signals.