Morning Comment: Gold & copper poised to diverge...in the other direction.


Well the last two weeks have played out very much like we thought they would. Two weeks ago, we got a “breather” in the market place...which allowed the market to work-off some of the overbought condition that had built up after an 11% rally in less than three weeks. Then we got the Thanksgiving week rally that we thought would take place (like it normally does)...which helped the S&P 500 index rally 2.3% on the week and left it at all-time record highs.......The question right now is whether we’ll also be correct about the next several weeks...and the market will continue to rally into the end of this year (and into very early next year).

We do need to point out that our target for the S&P 500 of 3800 is less than 5% away from where it closed on Friday’s shortened session, so the November rally has already taken the broad market about 2/3 of the way to our December goal. (Just so we can be clear, our December target is 3,800...but we do think it could move a bit above that level in early January.) In other words, more than half of the rally is behind us. Then again, nobody should turn their nose up at another 4%-5% of gains either!

It is our belief that the Fed will continue to keep the liquidity spigots wide open during the next several weeks...due to the fact that the most difficult part of the newest wave of the coronavirus is still in front of us...and should last into early next year. This will likely cause more (and/or further) lock-downs...which, in turn, will cause some further slowdown in the rate of economic growth...at one of the most important times of the year for the economy. Therefore, we believe that the Fed ...

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THE WEEKLY TOP 10


Quick note: With the Thanksgiving holiday this upcoming week, things should be pretty quiet. By midday on Tuesday, the activity in the marketplace will slow down considerably and thus the moves in the market will not be very compelling. They’ll ...

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Morning Comment: Gold Testing Important Support.

For the first time since the Roosevelt Administration, the stock market fell for the second day in a row yesterday. (Ok, that is a LITTLE bit of an exaggeration, but it sure seems like we haven’t had two down days ...

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Morning Comment: Commodities Poised for a Breakout???


The positive news on a vaccine out of Moderna yesterday fueled another nice rally in the stock market...as the DJIA, S&P 500, Russell 2000 and the Nasdaq all rallied strongly. (No, the Nasdaq did not rally as much as the ...

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Morning Comment: A Look at the Charts on Tesla (TSLA).


The action in the stock market was the mirror image of Monday’s action. That day, a big morning rally was reversed in the afternoon...and the market gave back much of its gains by the end of the day. Yesterday, a ...

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Morning Comment: Veteran's Day.....Masters Predictions.

Even though the S&P closed the day pretty much unchanged yesterday, it was still a wild day in the stock market yesterday. Despite that benign move in the S&P 500, the DJIA rallied almost 1% and the Russell rose 1.8%...while ...

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Bank stock traders: Remember, the bond market is closed tomorrow!

I just wanted to send out a very quick note about the bank stocks this afternoon. I have turned bullish on the group...especially with the break-out in the KBE. However, for those who like to trade quite actively...and like to ...

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Morning Comment: Can Banks & Small-caps Finally Outperform?


The domestic futures and the overseas markets are all trading substantially higher this morning...on the news that Notre Dame finally won an important football game...and the excitement surrounding this week’s Masters Golf tournament. Okay, okay...the fact that PFE announced that ...

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THE WEEKLY TOP 10


THE WEEKLY TOP 10


Table of Contents:

1) Our belief in a nice year-end rally remains intact.

2) However, next year will be much tougher for this very expensive market.

3) Many non-FAANG tech stocks actually have more momentum than ...

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Morning Comment: A


Whenever there are elections or primaries, we like to spend time flipping around and listen to what different networks are saying. Based on what we’ve heard over the past two nights, the support for Donald Trump from Fox News is ...

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Morning Comment: Sen. McConnell Helps the Rally


We agree with the consensus that says the likelihood we’ll get a split government once the final results are in from the election is the main reason the market rallied strongly yesterday...and why the futures are trading a lot higher ...

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Morning Comment: Watching AAPL, MSFT & AMZN very closely


It is interesting to note that the stock market was already giving back a lot of yesterday’s midday gains before the market closed...and before the earnings from several high profile tech companies. Don’t get us wrong, the decline over the ...

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