Articles
Daily market commentary and analysis.
Five Retailers on Sale for Under $10
Finding winners in the retail sector can be challenging. Target (NYSE: TGT) demonstrated this recently. The stock plunged more than 12% after the company reported sales and earnings that missed Wall…
Mar 9, 2017
Here’s What Hedge Funds Are Buying and Selling
Hedge funds appear to be a secretive world and, to some degree, they are. Only high net worth individuals who meet the requirements defined by the Securities and Exchange Commission (SEC) and large…
Feb 28, 2017
The Charts Will Tell Us When To Sell
In recent days, the Dow Jones Industrial Average, the S&P 500 index and the Nasdaq Composite index have all hit all-time highs for at least five consecutive days. This was the first time a…
Feb 23, 2017
Investment Lessons from the President and the Supreme Court
Politics is one of those topics many of us avoid discussing at family meals. We know it can lead to disagreements and ruin a perfectly enjoyable evening. Another topic usually avoided in polite…
Feb 16, 2017
The Best Trades for February
Last month, we applied a simple seasonal strategy to find potential buys for January. Now, we can review the results of this strategy. Of the 8 stocks, six moved up, a win rate of 75%. Half of the…
Jan 31, 2017
How to Find Stocks Ready to Breakout, and What This Indicator Says Now
Value investors are familiar with a problem most experienced investors have faced. Identifying value stocks to buy is relatively easy to do but the problem is that stocks can remain undervalued for…
Jan 19, 2017
Another Look at the Cheapest Stocks in the Dow
In a recent article, we looked at the traditional approach to a trading strategy known as the Dogs of the Dow. Several readers have questioned how a simple strategy like the Dogs can work. In this…
Jan 10, 2017
Cheap Stocks That Could Beat the Market Next Year
It’s finally January and now could be the time for traders to take positions intended to benefit from the January Effect. Investment managers and the academic community have long recognized that…
Jan 5, 2017
Benefiting From the Dow Theory Buy Signal
In a recent article, we highlighted the latest Dow Theory buy signal. Rather than repeat the details of Dow Theory and explain the signal here, we recommend reading the original article. In this…
Dec 15, 2016
Reading a Cloud Chart
In a recent post, we introduced Cloud Charts, formally known as Ichimoku Clouds. We received several questions about how to interpret the charts. While we generally like to provide answers to…
Nov 29, 2016
Ben Graham's Rules for Cheap Stocks: Four Cheap Stocks Warren Buffett’s Teacher Might Buy
Ben Graham is considered to be the founder of the value investing philosophy. He began investing in the 1920s, just in time to suffer large losses in the 1929 stock market crash. Graham decided to…
Nov 1, 2016
High Income Utility Stocks to Ease Election Jitters
Under normal circumstances, elections are often followed by selloffs in the stock market. Two examples many investors may remember are the selloffs that occurred in 2000 and 2008. Stocks were already…
Oct 27, 2016
The Whole Truth About Moving Averages:
We’ve all seen the analyst on CNBC explain with a sense of authority that the S&P 500 index has just crossed above or below an important moving average (MA). We are led to believe this foretells…
Oct 25, 2016
Big Cap Stocks in Distress Right Now
Academic research is an often-overlooked treasure trove of information for investors. Some investors ignore the research journals because they know the academic community believes markets are…
Oct 18, 2016
Generate Immediate Income Selling Puts Like Warren Buffett
Almost every investor wants to be like Warren Buffett in some way. While there is unlikely to ever be another Buffett, we can certainly learn from studying his investments. Many analysts point to his…
Sep 13, 2016
Intermarket Trading Strategies: An Overview of How Other Markets Impact Stocks
It seems obvious to state that markets are connected and moves in one market are often related to moves in other markets. But in 1991, this was a new idea. In that year, John Murphy published…
Aug 25, 2016
What Risk Means
Risk is part of investing. It is unavoidable and it’s even sought after. Risk is clearly related to potential rewards. To achieve the largest possible returns, investors have to accept higher than…
Aug 18, 2016
A Sector Rotation Trading Strategy You Can Follow
If you watch any one of the business news channels for more than an hour a week, you are likely to hear an expert proclaim that investors are moving money in or out of particular sectors. They might…
Jul 21, 2016
The Correct Way to Add Indicators to Your Charts
I saw an interesting chart over the weekend and want to share it with you so I recreated it. There are Bollinger Bands, moving averages, trend lines, stochastics, RSI and MACD. I think the chart is…
Jul 12, 2016
Managing Risk in Volatile Markets
A little more than 17 million voters in Great Britain created turmoil in global markets when they voted to leave the European Union. According to analysts at Standard & Poor’s, the vote led to $2…
Jun 28, 2016