From the desk of Tom Bruni @BruniCharting

Thanks to everyone who participated in this week's Mystery Chart.

Most were waiting for more information given prices were at a clear inflection point, so let's get into what it was and what our interpretation is.

Despite new recovery highs in the US and other international markets, India has been struggling in the short-term to maintain its upward momentum.

In this post, we're outlining some things that are important for Equities in the short-term and how we're approaching stocks on the long side.

From the desk of Tom Bruni @BruniCharting

Rotation is the lifeblood of any bull market, so what better way to use our "Chart of The Week" than highlighting the rotation into cyclical sectors that's currently taking place.

Copper continues to rip to the upside, but one chart suggests that the entire Base Metals' space is making upward progress.

Today we're taking a look at that chart and what its implications are for Equities going forward.

From the desk of Tom Bruni @BruniCharting

New Mystery Chart!

For those new to the exercise, we take a chart of interest and remove the x/y-axes and any other labels that would help identify it. The chart can be any security in any asset class on any timeframe on an absolute or relative basis. Maybe it’s a custom index or inverted, who knows!

We do all this to put aside the biases we have associated with this specific security/the market and come to a conclusion based solely on price.

You can guess what it is if you must, but the real value comes from sharing what you would do right now. Buy, Sell, or Do Nothing?

As we head into the second half of the calendar year 2020, we start from scratch with our Q2 playbook and outline our thoughts on every asset class and our plan to profit in the quarter ahead.

Part 1 of this playbook will cover our macro view, touching on Equities, Commodities, Currencies, and Rates.

Part 2 of this playbook will delve deeper into Indian Equities, going sector by sector to identify the trends that matter.

Part 3 of this playbook will outline the individual stocks we want to be selling within the context of today's environment.

Part 4 of this playbook will outline the individual stocks we want to be buying within the context of today's environment.

In early May we outlined the "Five Bull Market Barometers" we're watching to identify the beginning of a new bull market in stocks.

If you haven't read our initial post linked above, we'd encourage you to check it out so you understand what the rationale behind these five indicators is.

Now, let's see where these indicators ended the week.

As we head into the second half of the calendar year 2020, we start from scratch with our Q2 playbook and outline our thoughts on every asset class and our plan to profit in the quarter ahead.

Part 1 of this playbook will cover our macro view, touching on Equities, Commodities, Currencies, and Rates.

Part 2 of this playbook will delve deeper into Indian Equities, going sector by sector to identify the trends that matter.

Part 3 of this playbook will outline the individual stocks we want to be selling within the context of today's environment.

Part 4 of this playbook will outline the individual stocks we want to be buying within the context of today's environment.

As we head into the second half of the calendar year 2020, we start from scratch with our Q2 playbook and outline our thoughts on every asset class and our plan to profit in the quarter ahead.

Part 1 of this playbook will cover our macro view, touching on Equities, Commodities, Currencies, and Rates.

Part 2 of this playbook will delve deeper into Indian Equities, going sector by sector to identify the trends that matter.

Part 3 of this playbook will outline the individual stocks we want to be selling within the context of today's environment.

Part 4 of this playbook will outline the individual stocks we want to be buying within the context of today's environment.

As we head into the second half of the calendar year 2020, we start from scratch with our Q2 playbook and outline our thoughts on every asset class and our plan to profit in the quarter ahead.

Part 1 of this playbook will cover our macro view, touching on Equities, Commodities, Currencies, and Rates.

Part 2 of this playbook will delve deeper into Indian Equities, going sector by sector to identify the trends that matter.

Part 3 of this playbook will outline the individual stocks we want to be selling within the context of today's environment.

Part 4 of this playbook will outline the individual stocks we want to be buying within the context of today's environment.

Yesterday's post on "Pulling The Weeds" from our portfolios got some great feedback, so thank you for that.

It also prompted a question about whether we should be adding Equity exposure as the indexes go higher or if we should be lightening up and trying to add back on weakness.

This is a very personal question that'll look different for everyone in practice. In this post, I want to provide a framework to use when thinking about this so you can identify what's most appropriate for your portfolio.

Remember, our job as Market Technicians is to ask the right questions and then allow the market to tell us the answer.

Our view remains that this is a new bull market in stocks, so we want to continue using any weakness towards 10,000 in the Nifty 50 to be adding exposure. With that said, just as we would pull the weeds out of our garden periodically to keep it healthy, we want to do the same with our portfolios.

And what better time to review your portfolio than at the end of the quarter?

In this post, we're going to show a few examples of stocks that remain out of favor...and their characteristics, so that you can identify any of the weeds in your portfolio and determine the best course of action for them.