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Momentum Monday - Get Out Of The Way

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Good morning…

I am in Italy this week, but on Saturday Ivanhoff and I toured the markets and we liked what we saw.

Today, Apple ( $AAPL ( ▲ 3.69% ) ) Nvidia, Google ( $GOOG ( ▼ 1.27% ) ), Goldman, Uber and Gold are all all-time highs and Shopify is breaking out too.

The quantum stocks and nuclea r stocks are rocking too.

Only a few could have predicted this rally off the tariff ‘one man bear market lows’ when the $VIX hit 60.

For now, Ivanhoff and I share a lot of names in motion.

Welcome back to Momentum Monday!

In today’s episode of Momentum Monday, Ivanhoff and I discuss the following:  

  • Momentum Monday Kickoff & Travel Plans

  • Federal Reserve Rate Cuts & Market Reaction

  • Bull Market Winners: Tech, Speculation & AI

  • Hot Sectors & Market Speculation

  • Concerns: Employment, Social Media & the Economy

  • Positioning for Bull Markets & Closing Thoughts

In This Episode, We Cover:

  • Momentum Monday Kickoff & Travel Plans (0:00)

  • Federal Reserve Rate Cuts & Market Reaction (1:00)

  • Bull Market Winners: Tech, Speculation & AI (3:10)

  • Hot Sectors & Market Speculation (6:00)

  • Concerns: Employment, Social Media & the Economy (9:40)

  • Positioning for Bull Markets & Closing Thoughts (12:00)

Here are Ivanhoff’s thoughts:

The indexes are at all-time highs. This didn’t stop the Fed from cutting rates by 25bps last week. Powell said they are moving from a restrictive to a neutral Fed policy because there are some signs of weakening in the job market. The stock market loved it. We saw the most speculative areas explode higher—Quantum computing, nuclear stocks, and robot stocks led the charge, but there were so many other movers. In the meantime, we saw the so-called “sell the news” reaction in the US Dollar and rates, which bounced.

Price action has become a bit frothy in some areas of the stock market, so I would not be surprised if we see a shakeout next week. Typically, shakeouts take the form of a sector rotation in bull markets. The odds are that it won’t be any different this time. Any significant pullbacks to rising 20, 50, or 100-day moving averages will still be seen as good buying opportunities where one can enter with a tight stop for a swing trade.

And here are the charts discussed:

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