Last night we held our August Mid-month Conference Call. This is when we discuss our tactical view of the market and look for any signs of change in the short-term trend.
Let's go through some of the most important charts to track as this month progresses.
I had a blast chatting about some of my favorite charts and what we’re seeing in crypto, the major averages, small-caps, crude, and a lot more. We covered a lot of ground, hitting on some of the most important market themes right now.
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 long-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 five to nine years.
We call them the Young Aristocrats, and the idea is that these are "stocks that pay you to make money."
Imagine if years of consistent dividend growth and high momentum and relative strength had a baby, leaving you with the best of the emerging dividend giants that are outperforming the averages.
We retired our "Five Bull Market Barometers" in 2020 to make room for a new weekly post that's focused on the three most important charts for the week ahead.
This is that post, so let's jump into this week's edition.
As I scrolled through my currency charts this weekend, the same three-word phrase kept popping to mind: "Can’t be short!"
Whether it’s the Swiss franc, the British pound, or the Thai baht, we can’t be short most global currencies against the US dollar. Not at current levels.
Breadth is improving and our bull market re-born checklist has satisfied two more of its criteria. We are moving off the sidelines and getting more involved, increasing equity exposure in both the Cyclical and Tactical Portfolios and staying in harmony with current leadership trends.
Breadth thrusts and global strength have fueled the market in the past
Price patterns are consistent but participation is stronger now than in 2008
If June low was important, remainder of 2022 could see less volatility and more strength
The first half of 2022 was a great time to be on the sidelines, letting the bulls and bears bloody themselves in the market. Last year saw the previous breadth thrust regime expire in June and by November more stocks were making new lows than new highs. As 2021 turned to 2022, fewer and fewer world markets were showing any strength. The second half of the year is shaping up to be a different story, with a breadth thrust in July and a sharp expansion in the percentage of world markets trading above their 50-day averages, the conditions that have fueled all of the net gains in the S&P 500 in the past 40+ years are now present.