From the desk of Steve Strazza @sstrazza and Ian Culley @ianculley

We just revised and updated our Commodities chartbook and there probably couldn't have been a better time as we believe we've just entered the early innings of a new Commodities Supercycle. 

As we reviewed each passing chart our bullish thesis on commodities was reinforced as the same overarching theme became clearer and clearer... Everything seems to be trending higher!

With a slew of massive bases, bullish breakouts, and major trend reversals, this once left-for-dead asset class is now demanding investors' attention.

And participation continues to expand as we're seeing strength across all subgroups. From base metals to grains and softs, it's all working.

Now let's dive into a few charts that illustrate this theme. 

Last Summer when Gold ran into those former highs from 2011, it only made sense for price to recognize that overhead supply that had been in place for close to a decade prior. Even if only temporarily, that was big time resistance way back when, sending precious metals tumbling. So to ignore that seemed irresponsible (see Sept 3rd Conference Call).

Now, at the time we did not know how long this process would take, or if it was even necessary. No one knew. My suspicion, at the time, was that it could take months, maybe even quarters. But maybe longer, or perhaps would never even break out at all. I didn't know. No one did.

So we sat back and waited while basically every other asset class on earth ripped higher, except bonds. So you could have owned pretty much anything but gold and treasury bonds and done great since Labor Day.

Now, while the market has punished owners of gold, it's treated Platinum...

The Team published a bullish report on Broker-Dealers today and there are a number of names worthy of our consideration for options trades.

What does the market environment look like if stocks are under pressure, and loading up on stocks is probably a bad idea?

Well, I'd argue we'll probably stop seeing new highs in Aussie Dollar and US 10-yr Yields:

It's hard not to laugh a little when we say ridiculous things like,

Regional Bank Stocks continue to be the market leaders during this Global Pandemic...."

Especially in front of a group of investors who think they're smart.

This is like the "least smart" comment you can make, according to some circles...

Introspection is a great quality to have. While a lot of introspection goes into life in general, many market participants fail to identify their errors because they do not review their actions in the market. The one thing that needs to be clear is that no new money is being created in the market. The money is simply shifting hands.

From the desk of Steve Strazza @sstrazza and Louis Sykes @haumicharts

In a recent post discussing cyclicals, we posed the following question:

Are Energy and Financial stocks about to lead the market?

Cyclical groups are catching all the right tailwinds in this environment.

Crude Oil and Yields are pressing to new 52-week highs as investors continue to favor more economically-sensitive stocks and commodities in general. This is a bullish development and supports higher prices for some of the most beaten-down risk assets... even Financials and Energy.

As participation has expanded, we've been vocal about looking for the winners in each group without a sector bias based on relative strength.

The reason for this is simple... In a market where everything seems to be trending higher on an absolute basis, we want to put less emphasis on looking for leadership groups and...

From the desk of Steve Strazza 

Don't miss this weeks Momentum Report; our weekly summation of all the major indexes at a Macro, International, Sector and Industry Group level. As a reminder, we analyze this shorter-term data within the context of the structural trends at play.

This week we're looking at two long setups from the Energy space. Nifty Energy has performed well and its time to start observing its constituents more intently.

We retired our "Five Bull Market Barometers" in mid-July 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.

When you really dive in and see what's going on, it becomes quite obvious that this will end in disaster for many investors.

Do you know why?

Because that's what always happens.

So what?

Why is that our problem?

What does that have to do with investing and helping my family?

If you take maybe just 30 seconds to study history, you’ll find that most uptrends were not bubbles. They were just uptrends.

There were things that happened this month and even last year that have never happened in the market before. There were even some events that only occurred a few times in history.

So what?

Every month and every year we see the market do things that it's never done before, or maybe has done very rarely.

From the desk of Willie Delwiche.

Constructing a narrative can be risky behavior if you end up trusting the story more than the incoming evidence. When you can remain objective, however, it allows you to position for an expected outcome and then test whether that outcome is being realized. Form a hypothesis and test it. Know your parameters beforehand, don’t seek to justify the action after the fact. If the facts change, change your mind. We’ve been discussing the prospects of a global coordinated rebound in growth. The evidence at hand suggests we are indeed seeing that. I see the chart below as the who, what, where, and how of this story. FCX is mining for Copper in EEM using CAT. If any of these start to falter, it will suggest the story is changing. Currently, that is not the case.