Market review 24.06.30

Zooming out and focusing on the best

Hello everyone,

It’s easy to get lost in the noise.

This happens when we focus too much on the short term, add too much complexity, and seek opinions from 20 people who each have different timeframes and strategies. Falling into this trap is especially tempting in today’s market, where we have bifurcation and frequent rotations, and everyone’s talking about the upcoming election and the Fed’s next move. It all leads to stress and overtrading.

We must strive to simplify as much as possible. Zoom out and be objective. Eliminate news, opinions, politics, and economics from your trading.

Each week I:

1. Focus on market leadership (aka. momentum, relative strength)

2. Monitor trends using horizontal lines on weekly price charts

3. Use intermarket analysis and positioning data to complete the overall picture.

Today, I want to begin with a simple review of the broad market. I’ll then discuss why we could be seeing bifurcation even within sectors. Finally, we’ll look at some leading growth stocks with special filters applied.

Broad market review

VT (Total World Stock ETF) remains in a healthy uptrend following the major breakout in January: