Stocks Are Stuck. Deal With It.

JC Parets
August 25, 2023

The most important groups of stocks are stuck below overhead supply.

That's not usually a characteristic of strong uptrends where investors are consistently rewarded for owning stocks. That was the first half of this year.

Today, it's almost the exact opposite.

In this type of environment, investors are rewarded for selling volatility and collecting income. Investors also tend to be rewarded for avoiding these types of sectors and looking for opportunities elsewhere, in less correlated areas.

Here are 4 of the most important groups of stocks all stuck below their prior cycle's peaks:

Semiconductors, Homebuilders, Industrials and Technology as a sector are all stuck below those former cycle highs.

While this is the case, it's hard to expect the major indexes to make much progress.

Sideways to lower is still the bet until these things resolve higher, which is not something I'm expecting any time soon.

So get comfortable.

My suspicion is that there will still be opportunities to profit this quarter and into the Fall, but it's probably not coming from these indexes above.

We need to look deeper.

Everything you need to know was discussed in this week's LIVE Conference Call.

Premium Members make sure to give it a watch and then let me know what you think!

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