There was a lot of movement across asset classes over the last week, but more importantly, the market gave us some key inflection points to trade against.
In this post, we're going to look at Precious Metals and review how we should be approaching them.
Thanks to everyone for participating in this Week's Mystery Chart. Most of you were sellers but the chart was inverted, so you were actually buyers.
We'd be buying this chart too, so let's dive right in and see what it is and why we're all so bullish.
This week's chart was the Invesco Chinese Technology ETF $CQQQ.
In this post, we'll dig into the strongest Chinese technology stocks and outline some trade ideas as a way to express our bullish thesis.
We'll also discuss some intermarket implications of this ETF and its components.
We're going to take a close look at these Chinese tech giants and see if we can glean some insight into the internals of CQQQ in addition to other International Indexes.
First of all, the chart looks a good deal different than it did when we posted the Mystery Chart earlier this week.
When I was going through my charts this week, this is one of the ones that stood out the most. I see Biotechnology, on both an equally-weighted and cap-weighted basis, breaking out of major bases.
More specifically, if you look at the Cap-weighted Index Fund $IBB, we're talking about half a decade of no progress. It looks to me like this is all changing now:
Click on Charts to Zoom in
Look at Biotech relative to the rest of the stock market. Again, I'm seeing a half-decade long consolidation resolving higher:
Something we’ve been working on internally this year is using various bottoms-up tools and scans to complement our top-down approach. One way we’re doing this is by identifying stocks as they climb the market-cap ladder from small, to mid, to large, and ultimately to mega-cap status (over $200B).
Once they graduate from small-cap to mid-cap status (over $2B) they come on our radar. Likewise, when they surpass the roughly $30B mark, they roll off our list.
But the scan doesn’t just end there. We only want to look at the strongest growth industries in the market as that is typically where these potential 50-baggers come from.
Dividend aristocrats are easily some of the most desirable investments on Wall Street. These are the names that have increased dividends for at least 25 years, providing steadily increasing income to longer-term minded shareholders.
As you can imagine, the companies making up this prestigious list are some of the most recognizable brands in the world. Coca-Cola, Walmart, and Johnson & Johnson are just a few of the household names making the cut.
Here at All Star Charts, we like to stay ahead of the curve. That’s why we're turning our attention to the future aristocrats. In an effort to seek out the next generation of the cream-of-the-crop dividend plays, we’re curating a list of stocks that have raised their payouts every year for 5-9 years.
Introducing the Young Aristocrats. We like to say these are "stocks that pay you to make money". Imagine if years of consistent dividend growth and high momentum & relative strength had a baby, leaving you with the best of the emerging dividend giants that are outperforming the averages.
From the desk of Steve Strazza @Sstrazza and Louis Sykes @Haumicharts
At the beginning of each week, we publish performance tables for a variety of different asset classes and categories along with commentary on each.
Looking at the past helps put the future into context. In this post, we review the relative strength trends at play and preview some of the things we’re watching in order to profit in the weeks and months ahead.
Welcome to our "Under The Hood" column for the week ended October 30, 2020.
What we do is analyze the most popular stocks during the week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them.
We use a variety of sources to generate the list of most popular names. There are so many new data sources available that all we need to do is organize and curate them in a way that shows us exactly what we want: A list of stocks that are seeing an unusual increase in investor interest.
Whether we're measuring increasing interest based on large institutional purchases, unusual options activity, or simply our proprietary lists of trending tickers... there is a lot of overlap.
The bottom line is there are a million ways to skin this cat. Relying on our entire arsenal of data makes us confident that we're producing the best list each week and gives us more optionality in terms of finding the most favorable trade setups for our clients.
These are the registration details for our Live Monthly Candlestick Strategy Session for Premium Members of All Star Charts.
This month’s Video Conference Call will be held on Monday November 2nd @ 6PM ET. As always, if you cannot make the call live, the video and slides will be archived and published here along with every other live call since 2015.
From the desk of Steve Strazza @Sstrazza and Louis Sykes @Haumicharts
At the beginning of each week, we publish performance tables for a variety of different asset classes and categories along with commentary on each.
Looking at the past helps put the future into context. In this post, we review the relative strength trends at play and preview some of the things we’re watching in order to profit in the weeks and months ahead.
This week, we finally witnessed a meaningful rotation into reflationary assets as yields rallied to their highest levels since June. We also saw a noticeable strengthening from cyclicals.
Welcome to our "Under The Hood" column for the week ended October 23, 2020.
What we do is analyze the most popular stocks during the week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them.
We use a variety of sources to generate the list of most popular names. There are so many new data sources available that all we need to do is organize and curate them in a way that shows us exactly what we want: A list of stocks that are seeing an unusual increase in investor interest.
Whether we're measuring increasing interest based on large institutional purchases, unusual options activity, or simply our proprietary lists of trending tickers... there is a lot of overlap.
The bottom line is there are a million ways to skin this cat. Relying on our entire arsenal of data makes us confident that we're producing the best list each week and gives us more optionality in terms of finding the most favorable trade setups for our clients.