fb
X
X
Tired?
Unfocused?
Off your game?
Read our free, updated as of Mar 3, 2022, Dr K report on how to optimize your mind and body so you can boost your focus when trading the markets.
YES, SEND ME THE REPORT !
Meet Dr K !
Chris Kacher
  • Nuclear physicist
  • Stock & crypto market wizard
  • Blockchain builder
  • Bestselling author
  • Top 40 charted musician
  • Biohacker
  • Former computer hacker
YES, SEND ME THE FILE !
YES, SEND ME BOTH !
Your email will always remain private.

VoSI Focus List Review for the Week Ended July 8, 2022

 The market has been stuck in what mostly appears as a bear flag, although some attempt to make the case for a bear market rally. The NASDAQ Composite ran into resistance at the highs of this bear flag and the 50-day moving average, which runs well below the 200-day moving average.
At the same time, we've seen stocks like Meta Platforms (META), Netflix (NFLX) , and Zoom Video Communications (ZM), once high-flying techs with massive PE-expansions get added to the Russell Value index as their PE's have undergone severe contractions. While some may call these value stocks, the fact is that the market shows that it place a much lesser value on these companies' forward earnings streams than it did a year ago, as the one-year weekly charts below show.
Active money managers, at least as measured by the National Association of Active Investment Managers (NAAIM) Exposure Index, are positioned bearishly, with the lowest long exposure since March/April of 2020 as pandemic-related market fear reached a crescendo. The recent American Association of Individual Investors Bullish & Bearish Percentage Surveys have shown extremes in bearish sentiment. Yet the market has not been able to rally meaningfully, which brings up a concept we' e discussed before. That would be the idea that so much wealth has evaporated, with additional vaporization of mis-allocated capital occurring in the crypto currency space during the 2020-2021 Everything Bubble Market, there is little left to drive stocks and other so-called risk assets to the upside.
Second quarter earnings season has just begun, with big financials like J.P. Morgan (JPM) and Morgan Stanley (MS) expected to report Thursday before the open. As earnings season comes into full swing by the end of July, big-stock index names like Apple (AAPL), Amazon.com (AMZN), Alphabet (GOOG), and Microsoft (MSFT) will also be reporting, giving investors a view into how the current economic slowdown and inflation pressures are impacting earnings. These names also have the potential to move the market, and may help to resolve the current sideways bear flag environment we are in currently. Until further evidence to the contrary, we remain cautious on the market, as cash is still king for now.
The Market Direction Model (MDM) remains on a SELL signal.


This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2022 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.
FOR OUR FREE MARKET LAB REPORT :
Copyright ©2022 MoKa Investors, LLC DBA Virtue of Selfish Investing.
All Rights Reserved.
privacy policy