We've been obnoxiously talking about soft commodities lately.
But, it's for a good reason! And it all comes down to relative strength.
Aside from a few pockets of strength, the trends have been a mess in the broader commodity complex.
Products like Natural gas and precious metals have been hard to ignore if you're involved in the commodities markets.
There's more though.
Orange Juice futures made a new all-time high this week and look primed to begin a new leg higher.
Let's talk about how we're playing it:
First, some context:
Like Cocoa, Orange Juice futures have gone wild in recent years. OJ has rallied 450% in the last 5-years, while Cocoa rallied nearly as much in half of the time.
Our International Hall of Famers list is composed of the 100 largest US-listed international stocks, or ADRs.
We've also sprinkled in some of the largest ADRs from countries that did not make the market cap cut.
These stocks range from some well-known mega-cap multinationals such as Toyota Motor and Royal Dutch Shell to some large-cap global disruptors such as Sea Ltd and Shopify.
It's got all the big names and more–but only those that are based outside the US. You can find all the largest US stocks on our original Hall of Famers list.
The beauty of these scans is really in their simplicity.
We take the largest names each week and then apply technical filters in a way that the strongest stocks with the most momentum rise to the top.
Based on the market environment, we can also flip the scan on its head and filter for weakness.
Let's dive in and take a look at some of the most important stocks from...
People love their pets... but investors seem to hate them. Could it be muscle memory, back to the glory days, when pets.com was one of the best shorts of the dot com? Are these companies just built poorly? Whatever it is, short sellers love betting against these names. And lately, it seems like it is the whole group. While the short positioning suggests these companies are all bad, the trends tell us the opposite. Let's talk about the positioning in some of these pet stocks and how we can take advantage of it.
First up is the $1.3B pet health & wellness services provider, Petco $WOOF:
I'll be Streaming LIVE TODAY at 4 p.m. ET to talk about what that 20% correction in Semiconductors means for this market, where that money is going next, why markets are usually volatile ahead of November’s election, and what exactly we’re doing to profit from it all.
The A.I. story has come and gone and the recession that they've been telling us about all these years is finally here?
So this is a major top in Nvidia - ending the whole damn thing?
That's your bet?
And this massive top in Microsoft is exactly that - a historic top? One for the record books?
So the largest company on the planet is about to complete this 8 months of institutional distribution and is about to bring down the entire Technology sector?
Keep in mind that Nvidia and Microsoft combine for over 41% of the S&P Technology Index. (Apple is only 5% of Tech now)
Here's what I'm being told is the end for Microsoft...
Is that the bet you're making?
This is the end of the bull market?
Because I see Consumer Discretionary as the leading sector over the past month. Look at those returns, all outperforming the major averages by a long shot:
And another thing.
You know how we've been pointing out that High Beta has severely underperformed Low Volatility?