Your Growth Losers and Value Winners

JC Parets
May 8, 2021

Have you noticed how it's the Value sectors that keep shining this year?

It's not Tech. It's not growth.

This isn't 2020.

This is 2021. 

Deal with it.

When was the last time you saw relative strength like this coming from Financials and Materials?

This week we saw 75% of Financials hit new 52-week highs. That's the most in over a decade.

As you've heard us say here many times, these bullish breadth thrusts are classic characteristics of the beginning of bull market cycles, and NOT things we see near the end...

Meanwhile, both Technology stocks, and Growth in general, just went out at new relative lows.

Tech and Growth is NOT where the strength lies. In fact, this is the weakest place to be in the world.

How I learned it was like this:

The only way to make sure you own the strongest stocks is to buy the strongest stocks.

One way we do that is to sort by relative strength, positive momentum and proximity to new highs.

Last night we dropped the latest YOUNG ARISTOCRATS report.

You're going to find a ton of Financials, Materials and Industrials on this list.

This is a great place to find Value. And that's what we want to keep doing.

It's working.

Why change?

Let me know what you think!

JC

 

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