Tuesday, June 27, 2017

Five Reasons To Be More Bullish On The Stock Market


S&P 500: BULLISH 
Charts By Interactive Brokers
1) President Trump won a Supreme Court decision for his travel ban. That gives him some leadership momentum which can carry over to passing other pro-business legislation.
We still are skeptical that pro-business legislation passes but we don't think we need it to continue to hit new highs. New highs can be earnings driven which is much more powerful than politically driven.
The tide may be turning for Trump and the media bashing. They may still bash but he has dodged just about every jab. We see an important trend forming.
The negative media has kept investors out.
2) We are bullish that the debt ceiling passes with a "clean raise" as has been reported in the press. That removes a material risk to US markets. Trump likely gets Democrats and less-conservative republicans to agree to the raise. 
3) Earnings season starts soon with the Street expecting a slowdown yet the economy picked up from Q1 as per GDP going from 1.2% in Q1 to the ~3% "Atlanta Fed's GDP Now" estimate. That should help company earnings.
4) The weak dollar will help multinationals have higher reported income from foreign entities when translating the currency back.
5) Stocks are at new highs but the number of bulls are below average. There is more to go.
By: About Stock Pickers Premium: SPP is the best way to build conviction what stocks to own in this bull market. Daily reports, access to analysts, chat, targets, get the calls before the street.

Disclaimer: Securities reported by Elazar Advisors, LLC are guided by our daily, weekly and monthly methodologies. We have a daily overlay which changes more frequently which is reported to our premium members and could differ from the above report. Portions of this report may have been issued in advance to subscribers or clients. All investments have many risks and can lose principal in the short and long term. This article is for information purposes only. By reading this you agree, understand and accept that you take upon yourself all responsibility for all of your investment decisions and to do your own work and hold Elazar Advisors, LLC and their related parties harmless. Any trading strategy can lose money and any investor should understand the risks. #in, $spy, ^GSPC, INDEXSP:.INX, CME Globex: ES

No comments:

Post a Comment

Comment here: