I have three young boys running around in the yard right now. They seem to be playing “Calvinball.” That’s a game from the old “Calvin & Hobbes” comic strip.  Now, if you’ve never played Calvinball, the rules are confusing. It’s a game that you never play the same way twice. Anyone can add a rule, and any player can change the rules at any time, even if no one else agrees with the change.  Calvinball is what I call it when the boys are just running around and getting along. It’s simply a few moments of peaceful chaos.  Now that… Read More

I have three young boys running around in the yard right now. They seem to be playing “Calvinball.” That’s a game from the old “Calvin & Hobbes” comic strip.  Now, if you’ve never played Calvinball, the rules are confusing. It’s a game that you never play the same way twice. Anyone can add a rule, and any player can change the rules at any time, even if no one else agrees with the change.  Calvinball is what I call it when the boys are just running around and getting along. It’s simply a few moments of peaceful chaos.  Now that you know I’m a fan of Calvinball, you might understand why I’m so excited about the chart below. It’s a chaotic picture, but it offers investors important information.  —Recommended Link— BOMBSHELL: America’s Favorite New “Paychecks” You need to see this to believe it. CLICK HERE to see how a 3-minute phone call could hand you the opportunity to collect checks worth up to $225,326. And best of all, this program is backed by the full force and authority of the United States government… Click here to see all the details. Let… Read More

The S&P 500 Index and Dow Jones Industrial Average are at all-time highs. The same is true for the NASDAQ 100 Index and many other market averages. But some important averages remain well below their all-time highs.  Small-cap and mid-cap stocks are well below their all-time highs. For example, if we take a look at the S&P 600 – a small-cap benchmark index – we see it ended last week more than 13% below its August 2018 high.  —Recommended Link— Secret “Paycheck Program” Just Discovered…  It’s delivering up to 30 checks each year… Checks for… Read More

The S&P 500 Index and Dow Jones Industrial Average are at all-time highs. The same is true for the NASDAQ 100 Index and many other market averages. But some important averages remain well below their all-time highs.  Small-cap and mid-cap stocks are well below their all-time highs. For example, if we take a look at the S&P 600 – a small-cap benchmark index – we see it ended last week more than 13% below its August 2018 high.  —Recommended Link— Secret “Paycheck Program” Just Discovered…  It’s delivering up to 30 checks each year… Checks for $29,799… $62,046… and even up to $225,326 are being raked in using this program. If you’re looking for reliable cash, you need to act right now. This is instantly valuable, so don’t miss out.  Click here for the “Paycheck Program” details. The mid-cap S&P 400 (below) is almost 5% below its August high.  These indexes demonstrate that the strength in this year’s stock market rally has been driven by large-cap stocks. That can easily be explained by the “TINA” thesis; in fact, pension fund managers and other institutional investors have been citing TINA as… Read More

I recently ran through a little exercise with my premium Income Trader readers, looking at the potential upside in the stock market. And I’d like to share it with you… I’m starting with the simple assumption that the bull market will continue. Now, there are dozens of reasons for why the bull market shouldn’t continue. Yet, prices keep rising. Old traders often say, “The trend is your friend,” and that has certainly been the case this year. The trend has been relentlessly up, despite weakening economic data, a potential trade war, and many other problems. Traders have largely… Read More

I recently ran through a little exercise with my premium Income Trader readers, looking at the potential upside in the stock market. And I’d like to share it with you… I’m starting with the simple assumption that the bull market will continue. Now, there are dozens of reasons for why the bull market shouldn’t continue. Yet, prices keep rising. Old traders often say, “The trend is your friend,” and that has certainly been the case this year. The trend has been relentlessly up, despite weakening economic data, a potential trade war, and many other problems. Traders have largely ignored these potential problems, and the S&P 500 gained more than 17% since the start of the year. The “up” move has been interrupted by several declines, with the most serious one (in May) pushing prices down by almost 8%. To see how much higher prices could go, I started by looking at fundamentals. The Fundamental Picture Over the long run, the average price-to-earnings (P/E) ratio of the stock market has been about 17. The next chart looks at price targets for the S&P 500 based on estimates from Standard & Poor’s. To develop earnings estimates… Read More

On Saturday, President Trump met with China’s President Xi.  They reached an agreement that seems like it should be important.  But the top story on CNBC wasn’t about that meeting.  There was news about the meeting further down the page. In terms of page views, it was the fourth-ranked story on Saturday afternoon.  Instead, it was this… —Recommended Link— Coca-Cola’s Lesson for Investors​ Talk about a fantastic long-term investment. Coke went public at $40 a share. Now one of those original shares is worth $16.1 million. Now. I can’t tell you what the next Coca-Cola is going to be. Read More

On Saturday, President Trump met with China’s President Xi.  They reached an agreement that seems like it should be important.  But the top story on CNBC wasn’t about that meeting.  There was news about the meeting further down the page. In terms of page views, it was the fourth-ranked story on Saturday afternoon.  Instead, it was this… —Recommended Link— Coca-Cola’s Lesson for Investors​ Talk about a fantastic long-term investment. Coke went public at $40 a share. Now one of those original shares is worth $16.1 million. Now. I can’t tell you what the next Coca-Cola is going to be. But I CAN tell you where you’ll find it. It’s in this small corner of Wall Street populated by companies that are absolutely ruthless about doing one specific thing. This is hard to believe. But it’s all documented here.​ (Don’t worry, I won’t be discussing the Avengers movie, so you don’t have to worry about potential spoilers.)  The fact that the trade war is less important to CNBC readers than the Avengers movie shows me that the trade war has become routine.  The specifics of the meeting certainly seemed routine. Both sides agreed not to levy any new tariffs and, according… Read More

We definitely experienced volatility last week. I had spotted a signal to expect volatility, and we met that target in just a week.  The S&P 500 gained more than 2% for the week. That’s a significant move, but looking ahead, it’s time to consider what will create the next big price trend in the stock market.  The weekly chart below shows why we will see a significant trend. This is the fourth time since January 2018 that the S&P 500 has challenged the 2,900 level.  A significant trend followed the previous three times we reached this level. In fact, prices… Read More

We definitely experienced volatility last week. I had spotted a signal to expect volatility, and we met that target in just a week.  The S&P 500 gained more than 2% for the week. That’s a significant move, but looking ahead, it’s time to consider what will create the next big price trend in the stock market.  The weekly chart below shows why we will see a significant trend. This is the fourth time since January 2018 that the S&P 500 has challenged the 2,900 level.  A significant trend followed the previous three times we reached this level. In fact, prices pulled back quickly after each of the previous attempts to break through 2,900. That could be important information when considering what could happen next.  When looking at a chart, it’s important to remember that someone bought and sold at each point of the chart. So, some investors bought at the highs in January 2018 and saw the stock market sell off almost immediately.  Let me explain why that’s important to remember.  Another Lesson The Army Taught Me About Trading As some of you may know, I served in the Army. During my time in the Middle East, I noticed… Read More

Last week’s market action was relatively dull. And by dull, I mean there wasn’t much price volatility.  Now, just because the market was “dull” doesn’t mean it wasn’t also interesting. Dull markets actually provide us with important information about what’s likely to happen next…  —Recommended Link— The most underrated wealth-building maneuver in history. Wall Street pretty much ignores it… but more than 150 years of data prove that doing this beats every other investment approach hands down. By a LOT. In fact, using this little twist turned a $122,878 payday into $1,098,012. ​Check it out here and see what… Read More

Last week’s market action was relatively dull. And by dull, I mean there wasn’t much price volatility.  Now, just because the market was “dull” doesn’t mean it wasn’t also interesting. Dull markets actually provide us with important information about what’s likely to happen next…  —Recommended Link— The most underrated wealth-building maneuver in history. Wall Street pretty much ignores it… but more than 150 years of data prove that doing this beats every other investment approach hands down. By a LOT. In fact, using this little twist turned a $122,878 payday into $1,098,012. ​Check it out here and see what I mean. The dullness resulted from the fact that the S&P 500 was almost unchanged after Tuesday. I’ve created a chart showing the last two times we saw a market that was this dull. The blue rectangles highlight the “dull” periods.  The bars at the bottom show the true range of each day’s market action. The range is the difference between the high and the low. This indicator misses the market action on days when the price gaps up or down at the open. (Gaps are opening prices significantly above or below the previous day’s close.) The true range corrects… Read More

Recently, I realized almost everyone I talk to expects tomorrow to look a lot like today.  As an investor, that’s a sign I like to see.  People generally seem to believe their jobs are safe. They’re planning for major purchases because they assume prices will hold relatively steady. In other words, consumer confidence is high and steady. This anecdotal evidence is also confirmed in the economic data I review.  —Recommended Link— 4 Ground-Breaking Predictions That Could Add Triple-Digit Gains To Your Portfolio I was SHOCKED when I read the report… If these numbers are right, then these 4 stocks… Read More

Recently, I realized almost everyone I talk to expects tomorrow to look a lot like today.  As an investor, that’s a sign I like to see.  People generally seem to believe their jobs are safe. They’re planning for major purchases because they assume prices will hold relatively steady. In other words, consumer confidence is high and steady. This anecdotal evidence is also confirmed in the economic data I review.  —Recommended Link— 4 Ground-Breaking Predictions That Could Add Triple-Digit Gains To Your Portfolio I was SHOCKED when I read the report… If these numbers are right, then these 4 stocks could see triple-digit gains in the next few months alone — one of them is even primed to shell out 1,000% gains the second its new product is released. But no one is talking about them… yet. ​ Discover the 4 stock predictions that could change the way you invest for life. Consumer and investor expectations are important to investors. It might be easiest to see in the stock market. If investors expect stock prices to go up, they buy and hold stocks. When they expect a significant decline, they sell stocks and hold cash. These actions explain long-term bull… Read More

Babies cry sometimes.  Now, I know all of you already know that. As a parent to young boys, I certainly know it.  But when babies cry, there’s something we often don’t know: why.  When a baby cries, parents and caregivers scramble to find what’s wrong. Crying could mean the baby is hungry, or the baby needs to be changed, or it could mean almost anything. Crying just means that attention is needed, and the truth is that we might never know the real cause.  For now, the stock market is like a crying baby. It needs attention, but we don’t… Read More

Babies cry sometimes.  Now, I know all of you already know that. As a parent to young boys, I certainly know it.  But when babies cry, there’s something we often don’t know: why.  When a baby cries, parents and caregivers scramble to find what’s wrong. Crying could mean the baby is hungry, or the baby needs to be changed, or it could mean almost anything. Crying just means that attention is needed, and the truth is that we might never know the real cause.  For now, the stock market is like a crying baby. It needs attention, but we don’t really know why the baby is crying.  A week ago, the market was bearish. The S&P 500 Index was below its 200-day moving average (MA). News was alarming, with the threat of tariffs hanging over the market. Yet traders ignored all of that and the stock market climbed higher, closing up for the last four days of the week.  But we still don’t know why the market is crying. All we know for now is that the market needs attention. Just like with the baby, we need to try to understand what’s needed.  The simplest approach might be to wait… Read More

I spent considerable time this weekend trying to find something bullish to share with you.  In the end, I decided to share the chart below. It tells us to expect more gains in the stock market.  It’s a chart of the New York Stock Exchange Advance-Decline (A-D) Line. You can find the A-D Line by tracking the number of stocks that close higher and lower every day, and then subtracting the number of stocks that closed lower from the number that closed higher.  Thus, when you look at that chart, you’re actually looking at the difference between the number of… Read More

I spent considerable time this weekend trying to find something bullish to share with you.  In the end, I decided to share the chart below. It tells us to expect more gains in the stock market.  It’s a chart of the New York Stock Exchange Advance-Decline (A-D) Line. You can find the A-D Line by tracking the number of stocks that close higher and lower every day, and then subtracting the number of stocks that closed lower from the number that closed higher.  Thus, when you look at that chart, you’re actually looking at the difference between the number of advancing stocks and declining stocks. When there are more advancers than decliners, the line moves higher. When the number of stocks closing down exceeds the number that closed up, the A-D Line moves lower.  —Recommended Link— 6 Steps to Retiring This Year (Actually Works!) Financial analysts hate it. But there’s no denying this new retirement strategy is already helping thousands of Americans retire long before age 60. ​Click here to see how you can take advantage. This is a breadth indicator. Each stock, in effect, gets one vote. This is… Read More

Last week, the Dow Jones Industrial Average finished lower for the fifth week in a row.  That sounds important — and it is — but I will get to that in a moment. First, I want to step back and take a long-term view.  —Recommended Link— SECRET: Add $8,760 Extra to Any Retirement Account Finally revealed! This “long lost” secret turns a quick 3-minute phone call into the opportunity to collect $8,760 checks. Every payment is backed by the full authority of the U.S. Government… and over $1.75 billion will be delivered to income-seeking Americans. Read More

Last week, the Dow Jones Industrial Average finished lower for the fifth week in a row.  That sounds important — and it is — but I will get to that in a moment. First, I want to step back and take a long-term view.  —Recommended Link— SECRET: Add $8,760 Extra to Any Retirement Account Finally revealed! This “long lost” secret turns a quick 3-minute phone call into the opportunity to collect $8,760 checks. Every payment is backed by the full authority of the U.S. Government… and over $1.75 billion will be delivered to income-seeking Americans. But your action is required TODAY while the enrollment window is open. You must click here right now to get started. Here’s a monthly chart of the Dow Jones Industrial Average that goes back over the past 15 years. As you can see, there was a clear multi-year uptrend in the Dow that started back in 2009.  But since January 2018, that uptrend has stalled.  Technical analysts would say prices have been in a consolidation since then. I highlighted the consolidation pattern with a blue rectangle.  Charles Dow And The Business Cycle Writing in the late… Read More