The next new position in our Paid-to-Play portfolio is:

The most significant transaction on today's list comes in a Form 4 filing by Warren Buffett and Berkshire Hathaway.

Buffett just bought an additional 2,138,250 shares in Occidental Petroleum Corp $OXY. This is his first purchase in almost a month.

From the Desk of Kimmy Sokoloff

I mentioned yesterday in the Live Trading Room that $SPY can head into its gap at 438.97 this week.

The market is happy because all banks passed their stress tests.

Sector rotation is the lifeblood of a bull market.

We saw it at the beginning of the year as the laggards caught up to the leaders.

Remember, in the back half of last year, almost everything was working, EXCEPT large-cap growth stocks.

What are the best performers this year? Large-cap growth stocks.

More recently, we've seen rotation into Small-caps and Industrial stocks that were the underperformers in the early part of 2023.

This is perfectly normal behavior for bull markets.

In bear markets you see the opposite. In bear markets, the leaders tend to catch down to the laggards.

This is definitely not that.

So what's the bet?

From the Desk of Steve Strazza @Sstrazza

When investing in the stock market, we always want to approach it as "a market of stocks."

Regardless of the environment, there are always stocks showing leadership and trending higher.

We may have to look harder to identify them depending on current market conditions. But there are always stocks that are going up.

The same can be said for weak stocks. Regardless of the environment, there are always stocks that are going down, too. 

We already have multiple scans focusing on stocks making all-time highs, such as Hall of Famers, Minor Leaguers, and the 2 to 100 Club.

We filter these universes for stocks that are exhibiting the best momentum and relative strength characteristics. 

Clearly, we spend a lot of time identifying and writing about leading stocks every week, via multiple reports.

Now, we're also highlighting lagging stocks on a recurring basis.

Welcome to the Short Report.

We...

From the Desk of Kimmy Sokoloff

We saw pretty volatile moves in some names.

Fed Chair Jerome Powell spoke, and he has another public appearance tomorrow.

[11/16: stop updated to 32]

If it ain't broke, don't fix it.

We've been witness to many charts, that look like today's setup, breaking out and turning into big winners in recent months. And with very few signs of this current bull market running out of steam, we think there will be many more repeats of these profitable patterns in the weeks and months ahead.

And cheap options premiums continue to make it advantageous to play these moves simply with long calls.

Strazza has been pounding the table on DraftKings for a couple weeks now and today's trading action has me convinced that the time is right to get involved.

First, the chart:

We've adjusted a position in the Paid-to-Play portfolio today:

The most significant transaction on today's list comes in a Form 4 filing by Madison Square Garden Entertainment Corp $MSGE director Thomas C. Dolan.

Dolan reported the acquisition of 322,580 MSGE shares, equivalent to roughly $10 million.

Is it time to just hold your nose and buy Disney down here?

Sector rotation has been working.

The laggards are catching a bid.

Is Disney the next stock that money is going to rotate into?

From the Desk of Kimmy Sokoloff

We had a nice ramp up yesterday. I called out $SPY at 434.34 for a move to 436.60 in the Live Trading Room.

The market is pulling in this morning, and Fed Chair Jerome Powell will be speaking at the open.

From the Desk of Ian Culley @IanCulley

Most emerging market currencies have been in beast mode.

The Chinese yuan is a notable exception.

In fact, most Asian currencies haven’t fared well against the dollar over the trailing three months.

Latin American and Eastern European currencies – mainly the Brazilian real and the Mexican peso – are driving these markets.  

Analyzing these currencies through the Emerging Currency Fund $CEW as it makes new 52-week highs is useful.

But I’m more interested in the Chinese yuan as it slips and slides against the dollar.

Why? 

China represents the world’s second-largest economy.

And, based on the charts, the yuan could provide valuable insight into the direction of US stocks…

Check out the relationship of the US dollar to the offshore yuan, or the renminbi (USD/CNH):

The USD/CNH is the...