SIF Folio: +40% in three years – what should I change?

The SIF (Stock in Focus) fantasy fund reached its third birthday on 19 April 2019, so this week it’s time to take a closer look at the fund’s performance over the last year.
I’ll also reveal the changes I’m going to make to my screen for the year ahead…

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Small Cap Value Report (Tue 23 April 2019) – ZIRP Absurdity, ANG

Good morning!
I’d like to thank you all for staying with us through the recent changes.
Let’s see what’s going on in the RNS:
Angling Direct (LON:ANG) – trading update. New store opened in Nottingham on Friday, Like-for-like sales growth very strong.F…

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Small Cap Value Report (Tue 23 April 2019) – ANG

Good morning!I’d like to thank you all for staying with us through the recent changes.Let’s see what’s going on in the RNS:Angling Direct (LON:ANG) – trading update. New store opened in Nottingham on Friday, Like-for-like sales growth very strong.Fran…

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Prepare for Unknown Price Action as New Highs are Reached

The ES and NQ are very close to breaking out to new all time highs this week and possibly over the next few weeks. The NQ is very close to these new high levels already. Traders must not take this move for granted as increased volatility and a very real chance for a price correction become even greater once we break into “new high territory”.

This upside move has taken almost 5 months to climb back from the December 2018 lows. It has been a very dramatic rally to say the least. We’ve seen dozens of professional analysts suggest the markets would rotate lower all the way up this rally. It seems as though everyone wanted to be right that the market top in October 2018 was going to be the start of something big. We were one of the few analysts that called the market accurately. Our September 17, 2018 analysis called for almost every leg of this price swing over the past 7+ months. We stuck by our research while others were skeptical and doubting our research. We stuck to it because we believe in our work and modeling tools.

Now, our modeling tools are suggesting we could be setting up for a pretty big increase in volatility over the next 2~3 months with the potential for bigger price rotation into May/June 2019. As we are reading our modeling system results, the key elements are that price will achieve new all-time highs, the price will increase in volatility and Gold should begin an upside price move over the next 2~5+ weeks. The move in Gold suggests one of two things may happen, or both. The US Dollar may weaken or the US stock market may correct a bit based on some economic event or outside foreign economic event.

Either way, the move in Gold suggests that increased volatility is almost a sure thing over the next 60 to 90 days. The only reason Gold would rise is if there is some increased fear factor throughout the planet in regards to the protection of assets and fear of some unknown event. Therefore, if our analysis is correct and Gold does rise as we have indicated, then something is about to create a big increase in volatility.

The key to all of this is that the ES and NQ will move into NEW HIGH territory before this volatility increase begins to become apparent.

This ES Weekly chart shows just how close the ES (S&P500 Futures) are too new all-time highs. The ES needs to climb another 41 points (+1.41%) before it touches the previous all-time high levels. That is really only one of two good upside days. Once it breaks the 2947 level, then the 3000 psychological level becomes a very real target.

This NQ Weekly chart shows that the NQ is really just inches away from breaking to new all-time highs. The NQ only needs to rally 24.50 points (+0.31%) before the 7731 level is breached. We believe this move will happen very early this week and we could see the NQ push all the way above the 8000 level in short order. Our Fibonacci price modeling system is suggesting 9130 and 9625 levels may become the ultimate highs – but it is still very early to tell at this stage of our research.

Back in July and August 2018, we started warning that the end of 2018 and all of 2019 were going to be very good years for skilled traders. We’ve seen a nearly 3800+ point price swing in the NQ and a +1200 point price swing in the ES. Let’s face it, folks, these are very big moves and if you had been capable of trading these moves efficiently, this is the type of price rotation that makes millionaires out of average traders.

Get ready, because the rest of 2019 and almost all of 2020 are going to be just as exciting to trade so be sure to get our trade signals. We’ll see you on the other side of “new all-time highs” for the U.S. Stock market here soon.

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Chris Vermeulen

Stock & ETF Trading Signals

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Sirius Exploration – investing in potash mining, anyone?

Sirius Exploration is a company that’s changed dramatically over the past year or so. In the report and accounts to March 2009, management refers to a “year of transformation” , and in that time the company has moved from being a gold, iron, coppe…

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Where to invest in 2019?

Disquiet over Brexit has caused a slump in sterling and volatility in the FTSE 100 Index – an index which is predominantly made up of global …

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Junk Bonds Keep Dropping as Oil Spikes

Oil jumped to resistance on Iran news. If high-yield bonds continue to decline, large-cap stock indexes are more likely to follow.

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Junk Bonds Keep Dropping as Oil Spikes

Oil jumped to resistance on Iran news. If high-yield bonds continue to decline, large-cap stock indexes are more likely to follow.

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Small Cap Value Report (10 Feb 2017) – ECM, GNK, JE., RB

Good morning,It looks like a  quiet news day in terms of the universe of stocks we usually cover here. I’ll see what I can come up with – or let me know if you have any suggestions.Cheers,GrahamElectrocomponents (LON:ECM)Share price: 499p (-1%)No. sha…

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SIF Portfolio: Should I sell Plus500 after FCA spread betting crackdown?

Shares in SIF Portfolio holding Plus500 closed down by 28% on Tuesday, after the FCA announced plans to restrict leverage for retail investors.
In this week’s article, I’ll consider the potential impact of this news on profits. Should I sell Plus500 no…

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