Insights

The Rally that would not die! We'll admit it, we didn't think it would last this long, and it has exceeded our price targets. Technology had led the way until only recently, and small cap. stocks are lagging. The markets continue to be led by a relatively small number of issues, which means that breadth is weak in this move.

A massive rally hit the equity indices shortly after reaching new multi-month lows. We have mentioned repeatedly our opinion that the indices, particularly the S&P, are in the middle of an extended sideways trading range.

Soaring Pelican is coming up on 13 years since inception. One fact that we live with every day is that our performance is dictated by the levels of volatility in the S&P. Since 2011 we have been swimming upstream...

It is said that the only free lunch in investing is diversification. Yet, an intriguing question persists: why do so many investors hesitate to diversify their portfolios with alternative investments?

We noted in our last communication that a number of technical factors would likely pressure the market lower. September prices did fall further, and now we see the market in a place of technical support.

We noted the potential of a sell off in August based on resistance levels from the strong negative trend which began in 2022. The resistance we marked on our charts did turn the market lower until support levels were hit. At this point participants are likely confused as to whether to buy the dip or sell the rally. Adding to the uncertainty is the US dollar staging a strong rally,

Since the early 80's rates have been in a long-term down trend that took yields from high teens to near zero levels by 2021. And holding bonds over this period of time then made sense and was a good idea. Fast-forward to 2023 and...

The S&P progressed higher during much of the month of July, but ended the month with a gap higher that failed and betrayed an area of strong resistance. We discussed this zone in previous letters as being the location of the initial sell-off which began in early 2022.

The S&P moved higher throughout the month of June creating some excellent swing trading opportunities for long positions. Volatility returned to the market and created surging waves into the price levels where the sell-off began in early 2022.

Is the party over? Many investors may be wondering if the stock market's advance in 2023 is for real and a good time to stay invested or even add to an existing positing. In other words does the market have more to go or has it run out of gas?

After spending the month of April moving sideways and consolidating, the S&P broke higher in May and is attempting to initiate a new uptrend.

Reacting to market volatility could hurt your chances of reaching your long-term investing goals. The trouble is that many people don’t understand stock market volatility and how it impacts their portfolio strategy.