It's Stock Market "Hunting Season"

Pullback! [Logo]( Weekly Market Update Today is July 7, 2023 Dear Reader, Hello again and Happy Friday! I hope you enjoyed an eventful Fourth of July holiday. A cliche of advertising touts something called “Christmas in July.” It’s a silly expression. But this year there might be something to it. Bill Spencer Editor-In-Chief True Market Insiders I’ll say why in a second. But first… If you follow the news, you already know about the fireworks erupting around “Threads,” Mark Zuckerberg’s new “Twitter Killer.” According to The Guardian, “[Zuckerberg’s] microblogging platform was launched in 100 countries this week.” “It immediately accumulated significant numbers of users, hitting more than 30 million within its first 24 hours, apparently making it the fastest downloaded app ever.” “On Friday, however, Zuckerberg announced on his Threads account that the user total had more than doubled that figure.” The CEO of Facebook/Meta was so amped following the launch that he tweeted a “humorous” picture of Spiderman facing off against… another Spiderman, for some reason. He also said he wants to make “kindness” a central focus of his new brainchild. I’m all for kindness, as I’m sure you are. (Perhaps Zuck intends to kill Twitter with kindness?) But I can’t help but notice that, of all the indicators available on my trading platform, there’s no button for a 50-Day or 200-Day “kindness” average. True, Meta’s stock did put in a new high the day Threads was launched, and on above-average volume. Here’s the 1-year price chart. The green arrow at the bottom shows the volume. And here’s a larger 6-month chart, where you can see the price/volume action more clearly. It also shows (the red arrow) a much higher spike in volume the day after the launch, when the stock gave back some of the previous day’s gains. So I’m not so sure the market (i.e., the giant institutions) are too interested in kindness, at least when it comes to the stocks they invest in. Zuckerberg’s new app may end up killing Twitter. It won’t kill the fundamental principle behind successful trading. And that is to buy what’s working and sell what’s not, stories be damned. Which brings us to Christmas in July. Right now the market is looking strong over the intermediate term. Here’s why I say that. We say the market is “risk-on” when we see investors pouring their cash into sectors considered risky (but with the chance of higher returns). We can see that by looking at which of the 11 major sectors are strong and which are weak. When we do that, we find a “risk-on” market. Of the top five strongest broad sectors, four are risk-on. And all of the top three are risk-on. From strong-to-weak they are… Technology- Risk on. Industrials - Risk on. Basic Materials - Risk on. Consumer Non-Cyclical - Risk off. Consumer Discretionary - Risk on. Four of the six weakest broad sectors are risk-off. From strong-ish to weak they are… Healthcare - Risk off. Communication Services - Risk on. Utilities - Risk off. Financials - Risk off. Energy - Risk on. Real Estate - Risk off. Broad sector rankings change slowly. That’s why we’re justified in considering the market strong over the intermediate term.   Urgent: Man who predicted every major market move over the last 25 years reveals the company behind… [“L.A.S.E.R.”]( A $3.5 trillion megatrend drive by Elon Musk’s secret technology provider… [Name, Ticker Symbol & Critical Details [Here](   As for the short term (the time frame favored by traders) we are finally seeing that pullback we’ve been anticipating. For one thing, here’s how the major averages have performed over this holiday-shortened week. Compare that to the performance of the averages a week ago today. And here’s a 6-month chart of the iShares Russell 2000 ETF (IWM) – our proxy for small-cap stocks. Since mid-June, advances in the IWM have been coming on lower-than-average volume while down days have come on higher than average volume (the red arrows). Small-caps tend to lead the wider market, up and down. So over the short-term, it’s time to put together a shopping list so you can buy the best stocks on this pullback and watch them (likely) run higher over the summer.   Introducing: L.A.S.E.R If you're unfamiliar with L.A.S.E.R -- you're not alone. The people closest to this potentially $3.5 trillion technology -- such as Elon Musk -- are keeping it secret... Locked away inside a mundane-looking Florida facility. Want to know why Mr. Musk is going "all in" on this tiny Florida firm? [Click for the mind-blowing story>>](   As always, thank you for your time and attention. Have a great weekend, and I’ll see you next week. Bill Spencer Editor-in-Chief, True Market Insiders   [Avoid this ETF (A “Costas Classic”)]( [A Rational Take on A.I. Mania]( [I’ve Teed Up a Potential 295% Win for You](   [YouTube]( [Facebook]( [Twitter]( [Instagram]( [LinkedIn]( DISCLAIMER ©2023 by True Market Insiders, LLC, Protected by copyright laws of the United States and international treaties. This Newsletter may only be used pursuant to the subscription agreement and any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), in whole or in part, is strictly prohibited without the express written permission of: True Market Insiders, 7901 4th St. N STE 6113 St. Petersburg, FL 33702. The information contained herein has been prepared without regard to any particular investor's investment objectives, financial situation, and needs. Accordingly, investors should not act on any recommendation (express or implied) or information in this material without obtaining specific advice from their financial advisors and should not rely on information herein as the primary basis for their investment decisions. True Market Insiders LLC is not an investment advisor and is not licensed to give specific financial advice. The chairman of True Market Insiders, Chris Rowe, is also the CEO, CIO and owner of Rowe Wealth Management LLC, which is not owned by and is not the owner of True Market Insiders.   [Unsubscribe]( | [Manage Your Preferences]( | [Privacy Policy](