Investors Keep Buying Stocks

The second half of the mid-term years is historically the best time to do exactly that.

And investors are acting accordingly.

The negative correlation between the US Dollar and Stocks has been well documented here for a long time.

We said that if the Dollar starts to weaken, investors are most likely going to be buying stocks.

And guess what's happened since the Dollar started to weaken at the end of September....

Investors bought stocks:

You can see how well stocks have done while every currency is strengthening vs the US Dollar. First it was just the British Pound. Then the Euro bottomed. And then the rest of them joined the party.

Stocks have loved it each step of the way.

Here's what Insurance Stocks think about your conspiracy theories of a bear market. New All-time Highs:

And it's not just strength out of US Stocks.

Look at the London FTSE 350 pushing up against new all-time highs:

This index has just a 1% weighting in Technology. So it becomes quite obvious that the world's worst performing stocks are not hurting this index at all. Because there aren't any in it.

Meanwhile, here's India's NIFTY500 Index going out at new all-time highs:

The NIFTY500 does have an 11% weighting in Tech, but that's a tiny fraction compared to the 50% weighting that Tech has in the Nasdaq100, for example:

Strength strength and more strength.

The further you look, the more strength you'll find.

But this chart here has to be the most important chart in the world.

We're looking at the Financials Index retesting the former highs from just before the Great Financial Crisis.

And plotted below it is the high in Home Construction just before Subprime blew up and Real Estate fell apart.

We're back to their respective peaks before each of those disasters:

And it looks like they've retested successfully.

We'll be going over all of this on Monday night during our Live Monthly Charts Strategy Session. We'll get going @ 6PM ET on 12/5/22.

I'm going to walk through our entire Top/Down approach and then break down exactly which stocks and ETFs we want to own to take advantage of this Bull Market in stocks.

Premium Members make sure to register here.

If you don't have access to the registration, just email me and we'll get you set up. Also, you can always call Mary and she'll walk you through it as well: +1 (323) 421-7910

See you Monday!

- JC