Industrials Continue To Lead Stocks Higher

January 11, 2023

Historically, Industrial stocks are the ones with the highest positive correlation with the overall market, among all the S&P sectors.

Financials are obviously important. We don't have bull markets around here without them.

Technology has also been important, considering it has the highest weighting among all the sectors in the U.S.

But when you run the numbers, it's actually Industrials that comes out on top.

Industrials are officially the market's most important sector.

And so when we take a look at how they're behaving, I'm still not seeing the weakness that most investors keep telling me is coming.

In fact, look at Industrials breaking out to new multi-year highs relative to the rest of the market:

And when you take a look at some the most important components, things like Deere and Caterpillar for example, I see these stocks pushing up against new all-time highs.

Up and to the right:

Our goal is to sell things at higher prices than where we buy them.

It's not about the Fed. It's not about the President. We don't care about any wars or recessions or whatever the 'flation of the day might be.

Price is the only thing that pays anyone.

So that has fortunately been our focus.

Premium Members make sure to get caught up on our LIVE Monthly Charts Strategy Session where we go over all of the most important sectors we want to own, and the best stocks and ETFs to take advantage of the current environment.

This is one you cannot miss.

We're off the a great start to 2023.

The first 5 days of the year were positive, and this was after Santa showed up for his annual rally.

We're making money from the long side.

And the most important part is that these uptrends are not anything new. Most have been in place already for over 6 months.

These are 'ongoing' uptrends, not new ones.

Check out the full video and download the slides here.

And if you don't have access for whatever reason, just shoot me an email and we'll fix that right away.

Also feel free to give me a call: +1 (323) 421-7910

See you in there!

- JC