Editor's note: In the wake of his recent critical broadcast for investors, we're sharing an essay from our friend and colleague Marc Chaikin – founder of our corporate affiliate Chaikin Analytics – about a big signal from his Power Gauge system...
The Most Important Index Just Turned 'Bullish' By Marc Chaikin
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I recently warned investors about an important market shift... When it comes to tech stocks, I said, "The market is taking a fundamentally different approach." And I noted that "tech stocks are once again outperforming the broad market." And I pointed out something important to readers at the time... This "fundamentally different approach" is leaving many investors behind. And ultimately, tech stocks are just one example. Many folks are still talking about tech layoffs. And they're endlessly fearing the "coming recession." Despite that, tech stocks are now up about 20% this year. Folks, this situation represents a huge disconnect between investor sentiment and the market's actual performance. People seem scared. But stocks are telling a different story. And now, this shift will likely grow even stronger... The Power Gauge just flashed a "bullish" signal for the world's most important index. Today, I'll detail why that's a big deal... It's hard to keep up with everything lately. Investors have dealt with the so-called "tech wreck"... the banking crisis... wild swings in volatility... and the ongoing conflict in Europe. If you're glued to the TV, you might think the world is coming apart at the seams. Many investors are feeling downright terrible. They see a market with limited to no opportunity. In reality, a major change is taking place in the markets right now. As I said, tech stocks are one example. But it goes beyond that... Morgan Stanley's (MS) chief investment officer of wealth management recently reported that stocks are "delivering one of the best openings to a calendar year since January 2000." And despite the banking crisis, the S&P 500 has held its ground over the past month. It might not feel like it, but the index is trading around the same level as late February. Best of all, the Power Gauge can see this shift in real time... Folks, the S&P 500 recently triggered a "bullish" signal in the Power Gauge. In the Power Gauge, we track the S&P 500 using the SPDR S&P 500 Trust. And our system flipped to "bullish" on this exchange-traded fund ("ETF") toward the end of last week. Don't forget... We track the tech sector using the Invesco QQQ Trust (QQQ). This ETF also earns a "very bullish" rating today. And it has more than twice as many "bullish" or better holdings than "bearish" or worse ones. Put simply, the market is dripping with developing opportunities. But due to the continuous fear and uncertainty in the mainstream media, many investors are staying on the sidelines. I don't blame you if you're one of those investors... We've been through a whirlwind in this market together. And I understand why so many folks might want to take a "wait and see" posture. But the data is undeniable... We're entering a new market. Regards, Marc Chaikin April 1, 2023 Editor's note: In a special presentation, Marc is stepping forward to show you the one thing he believes you need to do this year to be on the right side of history. As he says, you can turn the table on all the volatility we've been experiencing in the markets and turn it to your advantage. Get the details here.
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