People don't like it when I tell them the Dow is going to 30,000. They tend to get even more worked up when I tell them it's going to 40,000 after that.

I'm old enough to remember a time when stocks going up was a good thing. In my opinion, there is still a massive amount of underexposure in the equities market.

So when I get asked, "Well JC, what's going to take stocks to those levels?". I think it's pretty clear that it's Technology:

From the desk of Tom Bruni @BruniCharting

Since late August when interest rates around the globe began their counter-trend rally we've begun to see some outperformance from international equities...leading to headlines like this.

So, is the trend in international underperformance finally over?

Let's take a look.

Over the last few weeks, we've talked about potential long-term bottoms in weaker sectors like Nifty PSU Banks, Pharma, among others.

Today we're taking a look at the Nifty Media Index as it confirms a failed breakdown that could serve as the catalyst for a new move higher.

In September we wrote about the Pharmaceuticals sector and its inability to gain traction due to relentless weakness in many components, particularly its largest component, Sun Pharmaceuticals.

Over the last two months the sector is basically flat, but several signs have emerged to suggest that we're potentially at a major inflection point.

With that as our backdrop, let's get into the charts.

If you weren't too busy reading reports of upcoming recessions, you may have noticed that the MSCI World Index broke out to new all-time highs this month. The award for best ETF Ticker goes to the good folks at iShares: $URTH

After a 21-month bear market, the planet Earth is now starting a new leg higher. I continue to believe very strongly that if stocks are above last year's highs, it is incredibly irresponsible not to be aggressively long.

This week's Chart of The Week revisits a topic we've written about many times over the last few years, Small-Caps vs Large-Caps.

From the desk of Tom Bruni @BruniCharting

Marijuana stocks have been an absolute disaster for longs in 2019, but one chart suggests that after a nearly 60% decline, the Horizons Medical Marijuana ETF and its components are set up for a counter-trend rally.

Here's the daily chart we've been using to guide us since the Horizons Medical Marijuana Life Sciences ETF (HMMJ) came public in April 2017. Following a quick double, prices settled into a 21-month range between 15 and 26 that was broken to the downside in late September after a failed breakdown and bullish momentum divergence were left unconfirmed.

After falling 35% from that failure and 60% from its 2019 high, the ETF is now showing signs of waning downside momentum as prices quickly recover from new marginal lows. It's also curious to note that this development is occurring at its IPO price around 10.

Click on chart to enlarge view.

The Nifty Public Sector Bank and Media sectors of the market have been laggards for a while, but we're now beginning to see signs that rotation into these areas is ahead.

Stocks are breaking out to new highs, however, not all areas of the market are participating to the same extent.

Today we're looking at a chart that suggests one market laggard is potentially undergoing a trend change and may outperform in the weeks and months ahead.

Stocks are going up. Interest Rates are not.

This we know.

If you haven't seen our thoughts on stocks lately, I encourage you to catch up here: November - October - September. Today, however, we're more focused on the bond market and what we can learn from it.

First of all, here is the US 10-year Yield. If we're below 2.07 then there is no reason to expect a severe bond sell-off. I guess it depends on what you consider severe, but bigger picture I don't think there is any change in trend until we're above that. And it's not happening tomorrow. 

This is my favorite time of the month - preparing for our Live Monthly Conference Call. It really gives me an opportunity to gather all of the evidence, put my thoughts and ideas down on paper and then explain it all in under an hour. It's all pretty awesome!

In this call we talk about the US Stock market and where it fits within the Global Market complex. Throughout this process we're also analyzing the commodities, interest rates and currency markets that apply to each country. Only then do we break things down to individual sectors and their sub industry groups to finally find the best stocks to express a bigger thesis.

We call this the top/down approach and I'm pumped to go through it all on Tuesday's Call.

Remember Crypto Currencies? The conversations over Thanksgiving dinners in 2017 were really something. It feels like just yesterday we were still feeling the euphoria of the Crypto Craze.

So now what? What's happened since the epic 80%+ crash that destroyed the hopes and dreams of the greedy fools that fell for the 'get rich quick' appeal of the "new currency" (that wasn't really new at all)? Where is Bitcoin today?