Daily Market News - 15th April 2022
The Relative Strength Strongman
It’s been 2 weeks since my last letter and boy it’s been an eventful time.
Everyone’s favourite house guest, good old Mr Covid finally paid me a visit but as I type these very words, I’m happy to report I’m feeling well enough to string some thoughts together.
Let me also say. I know the market is a mess just now, and probably more so for those who don’t know where to look.
There’s been a very clear pause in the market and no real indication of an imminent recovery, so in that kind of environment, I want to pay attention to the names that are OUT performing the S&P500, and I’m going to share some of those charts with you today.
So lets get into it. (I’m also going to post a link below to 8 Premium charts I’ve shared with clients in the last 2 weeks)
S&P500 (SPY)
The S&P is a mess, it’s been that way for months. I know we’re off the lows, but it’s a mess.
Honestly though, in the current environment, I don’t really care what the S&P500 is doing. I’ve been communicating as much to my clients / members these last few weeks.
I don’t care because I don’t buy Market Cap Weighted Indices… I’m more interested in finding the stocks that are going up, and it’s probably why thousands of you follow my work so closely.
That said, let me show you some areas going up.
Utilities (XLU)
Utilities are traditionally a risk off area of the market, that means when Utilities are going up, a lot of stocks are going down, and it’s something you probably want to pay attention to especially when there’s the potential for Utilities to out perform the broader market as the next chart should be able to show.
XLU Relative to S&P500
Charts keep it simple for me and if we’re above the March 2000 Lows in this ratio, it tells me Utilities could potentially out perform the market.
While we’re at it, how about Energy?
Energy ETF (XLE)
If we’re above those 2016 Highs, there’s a decent to fair chance energy takes another leg higher despite the absolute rip that it’s already had.
There are plenty of stocks going up just now once you take your eyes off the broader market, many names capable of ripping 20-40% in a few weeks (just like Growth Tech) and you can get them for free below.
Advanced Notice - No Sign Up required
The link below will take around 10 seconds to load the charts because it’s taken directly from the cloud in my Professional Optuma Web Storage Facility (which my clients / members have access to with my chart book) - you’ll only have access to these 8 Premium Charts.
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