The Perpetual Money Machine

Did you miss the Strategic Trader webinar last night? Apr 30, 2020 Dear Savio, Did you miss the Strategic Trader webinar last night? If so, be sure to check out the recording to hear our conversation about the incremental movements in the S&P 500 that are giving us more confidence in the market's recovery. With a bullish up-trend, we watch for a "stair step" pattern, and that's exactly what we're seeing as the S&P 500 makes higher lows. Though the market pulled back today, it doesn't necessarily mean we're done rising. The market rose yesterday, through news that the U.S. gross domestic product contracted by 4.8%. Today's larger-than-expected unemployment claims number may have set the rally back, but it doesn't mean investors are don...

Even as we continue to live in unusual times certain truths hold up. One of those is that good stocks ultimately outperform. MONTHLY ISSUE Apr 30, 2020 Dear Savio, Even as we continue to live in unusual times – as individuals and as investors – certain truths hold up. One of those is that good stocks ultimately outperform. We’ve seen that with our Power Portfolio over these last several weeks. Our portfolio has stormed back 47% since hitting its low six weeks ago. That’s more than double the Dow’s 22% bounce in that same time and even further ahead of the S&P’s 21% recovery. In the new  Power Portfolio 2020  Monthly Issue , we’ll look at how our portfolio has outperformed since the lows. We’ll also talk about signs of hope that keep us both very bullish on the future, even as we know there will be more bump...

The economic data reflecting the impact of the coronavirus pandemic on the U.S. economy is starting to roll in, but it's early and it's incomplete. HOTLINES NEWS ISSUES FORUM Data Dependence Hello, this is Dan Wiener with the FFSA Vanguard Hotline for Thursday, April 30th. There are no changes recommended for any of our Model Portfolios . The economic data reflecting the impact of the coronavirus pandemic on the U.S. economy is starting to roll in, but it's early and it's incomplete. Consumer spending, the lifeblood of our economy, has dropped precipitously as we've hunkered down and sheltered in. The first quarter's economic contraction was estimated to have compounded at a 4.8% annualized rate, the worst performance since the fourth quarter of 2008. But, and here's a big caveat, that's the first preliminary report of three estimates we'll see on Q1 GDP, a...

Listen to the Special Market Podcast for an update on the latest market gyrations. Flash Alert Apr 30, 2020 Dear Savio, The stock market pulled back about 1% today, as it digested some of this week’s impressive gains. But this action is healthy, and I’m personally pleased with what’s happening underneath the stock market’s surface. The reality is earnings are working. Stocks that are reporting positive results are being rewarded, and speculation in the market is finally rolling over. That’s good news because capital is rotating away from the low-quality stocks and pouring into more high-quality, fundamentally superior stocks. So, money isn’t leaving the market, it’s simply being reshuffled. The bottom line is that the crème de la crème is finally rising to the top. And, as more companies release first-quarter results in the next two weeks, I expect wave-aft...

Hope for Gilead's antiviral drug mixed with Fed Chair Powell talking up infinite stimulus aided the markets this week. ISSUES HOTLINES PORTFOLIO Apr 30, 2020 Trader's Sense   This is Jim Lowell, Editor-in-Chief of the  Fidelity Sector Investor , with your regularly scheduled  Hotline , Thursday, April 30, 2020. There are no new trades recommended in any of my tactical model portfolios. Trade Schedule Trades may occur every 31 days. If new trades are triggered, the next trades will be announced and executed on Thursday, May 14. The Markets For the year through April 29, the S&P 500 is down 8.4%, the NASDAQ is down 0.4%, and the 80% S&P 500 / 20% EAFE index is down 10.2%. Our Portfolios Over the same time period, my  Tactical Alpha  portfolio is down 5.5%, my  Tactical ETF-Only S&P 500  portfolio ...

ISSUES HOTLINES PORTFOLIO Apr 30, 2020 May Days versus May Day This is Jim Lowell, Editor-in-Chief of the  Fidelity Investor , with your regularly scheduled  Hotline , Thursday, April 30, 2020. There are trades recommended in my FI Growth  and  Growth & Income  as well my  VIP Annuity Growth  and  Annuity Growth & Income  model portfolios,  effective today . I will detail these at the end of this message. The Markets For the year through April 29, the S&P 500 is down 8.4%—below correction territory; the Wilshire 5000—the broadest measure of our domestic market, is down 9.1%; the EAFE index—my preferred broad measure of international markets, is down 17.5%; and the Bloomberg Barclays U.S. Aggregate Bond Index—my go-to broad measure of U.S. investment-grade bonds,...

The weekly unemployment claims number came in this morning and brought the total jobs lost during the COVID-19 outbreak to over 30 million. ALERT Apr 30, 2020   New Unemployment Claims and Retail Stocks Dear Savio, The weekly unemployment claims number came in this morning and brought the total jobs lost during the COVID-19 outbreak to over 30 million. Most analysts were expecting a negative report, so the bad news wasn't completely surprising, but the severity of the bad news was a little worse than had been anticipated. Stocks are lower following the new jobless claims, which seems worrisome on the surface, however, as we have pointed out many times in weeks prior to the COVID-19 crisis, the weekly c...

Dear Reader, Last night was the 2020 Crypto Millionaire Summit: Last Call . I made a huge announcement regarding the biggest cryptocurrency catalyst in four years… The “Halvening” event. The first time the Halvening event took place eight years ago, bitcoin soared an extraordinary 2,135%. The next time it happened four years later, bitcoin rose a rare 3,122%. Enough to turn $10,000 invested into $322,200. Now the Halvening is occurring all over again… just days from now… And it’s set to be the biggest cryptocurrency event yet. But ...