A few things stay the same and a few things show up.

Staying the same: Continue to avoid energy, oil &gas, most commodities, big retail, most auto anything, most financials and a smattering of other stuff.

Best areas remain big cap over small cap…by a lot. Big tech/internet/semiconductors, the FANG, China ADRs, managed care, housing, and now emerging, rails, a few airlines, defense, a few restaurants and insurance stocks now breaking out . So…some new stuff.

Dow almost out of range and S&P out of range. Nasdaq/ndx still lead.

FXI moves into highs, emerging still good. Brazil yonked. (Too many crooks running the joint!)

And the Mets are still injured!



Dow and more importantly, S&P are on the verge of breaking out of a 3 month trading range. The pullback at its low was only about 3%. Last week looks like it was nothing more than a scare day off of the naming of a special counselor to investigate the Russia stuff.

Keep in mind, this is a very narrow move as even now, we can count about 45% of the market not participating. We don’t mind. Just pay attention to the bouncing ball. A high volume move above range will go a long way in thinking another leg up is at hand. And yes, we know we are in end-of-month, pre-holiday trading but we do not rationalize.


After last week’s yonking, it “feels” like major indices will break range again to the upside. All it would take is one good day. This is happening with no help from retail, from energy, from commodities, from financials, from small caps and other places.

Need not say more as we head into the pre-holiday, normally bullish bias.

See you in the A.M.



NDX futures up decently…S&P futures just above flat. NASDAQ/NDX continue to get the money flows.

Gaps to downside: LOW, TIF, AAP, DY, BG, UHS.

To the upside: INTU.

BG was rumored to be bought yesterday…says no rumor today…gives it back. Be careful!

AAP adds to the auto parts retailing misery after AZO being smoked yesterday.

Watching to see if commodity areas sold out for now. Seems like bounce has started but need some more cards come out of the deck. Seeing insider buying in X and CLF.

Otherwise, last Wednesday’s yonking almost a distant memory.

Tonight…I will be writing about one of my favorite movies THE STING and how it equates to the reporting on Trump’s budget, government spending, the size of government and all that crap. There is a great con game going on.



Not a lot to take out of market today.

Yes, the housing stocks reversed down on good earning’s news.

Yes, the financials were strong as long rates backed up.

Yes, leading growth names as well as the semis pulled in.

And yes, Autozone (AZO) was smoked. We had been telling you to avoid almost anything auto-related.

Other than that…after what happened in Manchester last night, make sure you hug your children!


“THEY” are the problem!

-Trump proposes a $4.1 trillion budget, the most ever…and THEY complain.
-Last year, we sent them $3.3 trillion and they still couldn’t balance the budget…and THEY complain.
-Every program grows in size again but THEY complain.
-Last month, the taxpayer…we repeat…THE TAXPAYER spent $34 billion on JUST INTEREST PAYMENTS yet THEY complain.
-$34 BILLION DOLLARS JUST TO PAY OFF THE INTEREST…JUST IN ONE MONTH. All caused by the debt THEY created throughout the years…yet THEY complain.
-We should all be sick and tired of THEY as THEY are the culprits. THEY are the ones that are not held accountable. THEY are the ones who continue to hamstring us. THEY are the ones who keep adding to the debt. THEY never stop.
-Yet THEY complain. $4.1 trillion coming out of the economy, coming out of the private sector into the greasy, grimy, sleazy, slimy hands of bureaucrats that could not give a crap about how hard the private sector works not to earn the money they earn but to save the money they save.
-But THEY complain. THEY complain it is not enough. THEY complain spending needs to be higher. THEY complain taxes need to go up even more.
-Have we had enough of THEY yet?


Futures are up. Europe is up. The UK is up. What? How can that be? We just had another terror attack. This one targeting innocent children and teenagers. All they were guilty of was attending a concert for one of their favorite pop stars.

First off, our prayers go out to all affected. Unfortunately, no matter how good surveillance and security is, these scumbags are in the weeds. These scumbags can just go on the internet to figure out how to make a homemade bomb. Frankly, we are surprised there isn’t more of these incidents.

As far as markets:

The shock value! Through the years of a decent number of these attacks, have worn off.  Markets do not sit around thinking an attack is about to happen but markets now know there is a chance of one happening. The more they happen, the less the shock value. Sorry to put it in these terms but it is true.

The F.U. effect! Yup…markets have their way of sticking a certain middle finger in the air at these scumbags. It’s their way of saying F.U. You are not going to stop is. Yes, markets do have a life of their own.

The world will go on! Again, sorry to put it in these terms as many are suffering in the worst way today. But it is true. The world does not stop.

More than half our market is in a bull market and European markets have been strong. That does not change so easily. If markets were bearish worldwide, we think there would be a bigger effect in the near term.

More importantly, we are sick over another incomprehensible attack and our prayers go out to all affected.