Here I am at the end of a hard week, having just opened up a marvelous 30 year old Glenfiddich that a reader gave to me (thanks, Michael T.!). I hope a few of you were able to join in on the "Spotlight" Tom Sosnoff and I just gave. Those are always fun.
If you did listen in, you heard my point of view on the market – – – the next few months seem so clear to me. I hope my clairvoyance is on the money, so to speak, because it's terribly exciting to me to be able to (presumably) have an understanding of what is going to take place.
For the moment, I am buying stocks. There are some who say the market is going to crash this week. It could. But even those who believe it might crash acknowledge that would be the "nail in the coffin" for this leg of the bear market, and we would then commence to push higher over a period of months. So, crash or not, I'm buying stocks. A lot of them. I just got started today.
There are three interesting flavors of charts I've categorized for the months ahead. Allow me to share these with you.
Caput Scapulique
This is my favorite. It may or may not be an actual head and shoulders pattern, but it is a chart which fell away from a major horizontal support line. I'm tracking about one hundred of these, and by God, they are luscious.
Infractus Versus
I've tracking seventy of these critters – – the breakers of major trendlines. The target price is tougher on these, but I expect a hearty bounce, and I own a lot of these for the time being. I will naturally reverse the position at (hopefully) the right time.
Ceterum
I've also got a grab bag of about fifty stocks which, although not cleanly defined, will still make fantastic shorts once the countertrend rally is over.
Just to be clear, what I'm looking for is a steady, hearty, sustainable rally that lasts more than one freakin' trading session. I intend to take advantage of both sides – – up and then down. If we do this right together, we're all going to make fortunes.
By the way, I've slightly updated my Recommended Reading page, so please check it out. Have a good weekend. I'll see you on Monday.
