Archive Category: Wednesday Windfalls Alerts

All four major U.S. stock indexes are in the red again today.

The market reacted favorably to Powell & Co. yesterday. The S&P 500 traded 2.1% higher between the Wednesday 2 p.m. Eastern time release of the Fed’s meeting minutes and today’s open. Shares of the Consumer Discretionary Select Sector SPDR Fund (XLY), the iShares MSCI Emerging Markets ETF (EEM) and the SPDR Euro STOXX 50 ETF (FEZ) traded 2.5%, 1.7% and 2% higher over the same time frame. However, after opening higher, stocks have traded down so far this morning.

All four major U.S. stock indexes are in the red today. The stock markets of the top 15 global economies are all trading down as well. This isn’t a bad thing. It’s an opportunity. See, I designed our strategy to capture bullish “pops” that occur after a Monday sell-off. A lot of selling is happening today. And if it proves overdone now, we can expect to see strong price action over the next 48 hours.

Our rough slog continues… As frustrating as anything is the rather stark difference between the strategy’s performance over the past 11 weeks, since we went “live” with our founding subscribers, and its performance during our 33 weeks of beta testing before we made it available to you. That’s the topic of our Weekly Trade Wrap, due out tomorrow.

Stocks took it on the chin last week, continuing the slide that began the day after Thanksgiving. But now, I’m optimistic the short-term pullback has found its low. The S&P 500 held firm at its 50-day moving average last Thursday and Friday … and is now surging higher today. The Dow Jones Industrial Average (DJIA) held firm at its 200-day moving average last week … and is climbing higher to reclaim its 50-day average today.