We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Critical Market Levels To Watch & 1 Long-Term Opportunity
Read MoreHide Full Article
The bulls and the bears are battling it out at critical market levels today as the S&P 500 fights its way towards pre-COVID highs, trading less than a percent below. The Nasdaq 100 has been relentlessly pushing towards continuously new highs despite a growing number of sellers entering the market.
There appears to be a rotation towards cyclical value names that have underperformed the broader market because of their sizable pandemic exposure. Still, tech bulls have remained persistent buying up every dip the bears throw at them.
We are trading up to quite frothy valuations in innovation-driven sectors. The market is pricing in a very optimistic economic recovery, and it feels as if equity prices are hanging by a thread. We will need value sectors like financials, industrials, utilities, and energy to start participating materially if the market rally is to continue.
The economic recovery is happening swifter than analysts anticipated. Weekly unemployment claims fell below 1 million for the first time since the pandemic began last week. But is this unexpectedly rapid recovery already baked into the stock market?
Would you like to see the updated picks from our best market-beating strategies? From 2017 through Q2 2020, while the S&P 500 gained an impressive +44.0%, five of our strategies returned +50.9%, +93.8%, +122.2%, +153.0%, and even +156.8%.
This outperformance has not just been a recent phenomenon. From 2000 – Q2 2020, while the S&P averaged +5.5% per year, our top strategies averaged up to +51.7% per year.
Critical Market Levels To Watch & 1 Long-Term Opportunity
The bulls and the bears are battling it out at critical market levels today as the S&P 500 fights its way towards pre-COVID highs, trading less than a percent below. The Nasdaq 100 has been relentlessly pushing towards continuously new highs despite a growing number of sellers entering the market.
There appears to be a rotation towards cyclical value names that have underperformed the broader market because of their sizable pandemic exposure. Still, tech bulls have remained persistent buying up every dip the bears throw at them.
We are trading up to quite frothy valuations in innovation-driven sectors. The market is pricing in a very optimistic economic recovery, and it feels as if equity prices are hanging by a thread. We will need value sectors like financials, industrials, utilities, and energy to start participating materially if the market rally is to continue.
The economic recovery is happening swifter than analysts anticipated. Weekly unemployment claims fell below 1 million for the first time since the pandemic began last week. But is this unexpectedly rapid recovery already baked into the stock market?
Stocks Discussed
Nasdaq 100 ETF (QQQ - Free Report) & Goldman Sachs (GS - Free Report)
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies? From 2017 through Q2 2020, while the S&P 500 gained an impressive +44.0%, five of our strategies returned +50.9%, +93.8%, +122.2%, +153.0%, and even +156.8%.
This outperformance has not just been a recent phenomenon. From 2000 – Q2 2020, while the S&P averaged +5.5% per year, our top strategies averaged up to +51.7% per year.
See their latest picks free >>