Broad Market Outlook
With a short holiday week, it felt as if we were watching paint dry as most traders were more then likely speculating on the couch watching the football games or soccer games depending on where you live globally.
Even though it was a shorter week, the market still climb higher continiung to form a mickey mouse flag inside of a clear ascending channel. A simple trend that we do not what to fight.
Until the mid of October, it was great to look for shorts, but as we continue to inch higher and plenty of charts are setting up, it is time to start shifting those eyes from looking down to looking up.
We have to thank the 10 year for continuing its h over as it heads towards 3.5% as one of the reasons for this market bounce.
As most people overall are still clinging to the bear market narrative of this year, when in realitly we are in quite the quiet mini bull market.
What if I told you since the market bottom on Oct 13th:
Financials are up 22%
Materials are up 21%
Industrials are up 20%
The Dow 30 is up 20%
Utilities are up 18%
Mid Caps are up 17%
Tech is up 17%
REITs are up 16%
The S&P 500 is up 14%
Small Caps are up 13%
Healthcare is up 13%
Consumer Staples are up 13%
Energy is up 10%
Yet if you asked most, the market is crash or there are no opportunities in the market right now.
When in reality, the trend for now is pointing higher, the 10 year is pointing lower (good for those in the market for a home) and there are plenty of charts setting up to take advantage of.
As always, keep it simple, continue to scan your watchlists, call out your best ideas, we will set the alerts to remind us of these great set ups and we can continue to ring the register while most point at the YTD performance of the SPY and complain.
Macro Rotation Outlook