The market has provided a nerve-wracking amusement park ride for those with the stomach to hang in there. Of course, the Brexit vote caused a nasty selloff due to the uncertainty of what comes next and the long-term ramifications, but the ensuing recovery was just as swift. At the end of it all, stocks are right back where they have been, mired in the same long-standing trading range but apparently (in my opinion) more inclined to find some sort of upside catalyst. Read more about Sector Detector: Stocks remain inside their long-standing trading range, but an upside breakout grows more likely

The stock market rally off the February lows initially was led by the usual combination of short-covering, oversold bottom-feeding, and speculation (on “junk"). But then market action started showing signs of improving market breadth and a rotation back into higher quality companies -- the types of companies with characteristics Sabrient typically seeks in our GARP (growth at a reasonable price) selection process. It is notable that price action for the S&P 500 was very similar during 2015 to what occurred in 2011. Read more about Sector Detector: Market breadth improves as investors rotate back to quality

March Madness is in its full glory with some of the most epic displays of competition, controversy, surprises, and visuals we have ever seen. Oh, and the NCAA basketball tournament is pretty incredible, too, but that’s not what I’m talking about. I’m talking about the U.S. presidential election. And it has produced some crazy headlines, news clips, and sound bites. Read more about Sector Detector: Bulls gather conviction as fundamentals regain importance in eyes of investors

In the ongoing bad-news-is-good-news saga, last week’s surprisingly weak jobs report led to speculation that the Fed would delay hiking interest rates, which is perceived as a positive for equity investors. So, bulls are getting a boost for the moment, although those previously hard-won round-number price levels for the major indexes are now serving as ominous overhead resistance that will likely require a strong new catalyst to break through. Whether stocks are destined for downside or upside from here, Q1 earnings season starts this week and will likely provide the catalyst. Read more about Sector Detector: Stocks grind into neutral, hoping to find a new catalyst in earnings season

Volatility reigned in January on elevated volume as stock investors shifted their focus from global events to U.S. earnings reports, which have ranged from amazing (e.g., Apple) to crushing (e.g., Microsoft). Although the earnings reports have brought plenty of surprises, the volatility is no surprise, as I and many other market commentators predicted for the New Year. Read more about Sector Detector: Volatility continues as earnings reports create excitement and despair

Well, it’s official. The old adage about selling in May didn’t apply this year. Instead, larger-cap, higher-quality, and value-oriented stocks continued to lead the market higher. The S&P 500 gained +2.1% during the month and confirmed its tentative technical breakout from the prior Friday with steady progress last week. However, it was tepid at best during the holiday-shortened week, and a somewhat concerning ‘double-low’ confirmation -- i.e., on extremely low (and decreasing) volume and with a backdrop of persistently low volatility. Read more about Sector Detector: Stocks confirm tepid breakout, but on ultra-low volume and volatility

smartindale / Tag: SPY, VIX, EEM, IWM, IYF, iyw, IYJ, IYZ, IYC, IYK, IYH, IDU, IYM, IYE, FTEC, FNCL, FUTY, FSTA, FENY, TDIV, PXE, KBWD, SWKS, OVTI, BCEI, PSX, ZION, FITB / 0 Comments

Scott MartindaleThe weakness last week in U.S. stocks was entirely expected. As I mentioned in last weekend’s article, the technical condition had become quite overbought and the market was overdue to take a breather and pull back a bit. Also, our SectorCast rankings had moved from bullish to a more neutral bias. Read more about Sector Detector: Utilities plow ahead while market takes an overdue breather

smartindale / Tag: sectors, iShares, ETF, SPY, VIX, iyw, IYF, IDU, IYH, IYE, IYK, IYC, IYM, IYZ, TDIV, KBWD, PPH, UPW, AXE, FFIV, BOFI, SIVB, ACT, biib / 0 Comments

Scott MartindaleWell, Fed Chairman Bernanke has proved me wrong by dipping his toe into the dreaded tapering of QE3. In retrospect, I suppose he preferred to take this first step on his own rather than put the onus (and any associated fallout) on the back on his successor. Read more about Sector Detector: Fed drops the green flag and bulls are off to the races

smartindale / Tag: sectors, iShares, ETF, SPY, VIX, iyw, IYF, IYM, IYK, IYC, IYZ, IYE, IYJ, IDU, IYH, MA, PRU, GOOG, SNDK, KBWD, TDIV, OSIS, ULTA, JAZZ / 0 Comments