July 1, 2019 Divergence Between These Sectors Could Mean One of Two Things Ahead - Here's How to Prepare for Both Click to view online Dear Total Wealth Reader,
The S&P 500 is on target to hit the "best first half-year" it's had in more than a decade, while the Dow is on track to do even better - with the best June on record since 1938.
Strategically speaking, I think the rally could go on for another decade, which is why you want to invest accordingly. There's just that much fuel pent up between growing sales, cheap money and - unbelievably - a still accommodative Fed.
Tactically speaking, though, I think we could see a short-term change in direction.
I'm not alone in my thinking, incidentally.
JPMorgan analysts pointed out something my own research has picked up on and that we've talked about in recent months: cyclical stocks that are usually key economic growth drivers have failed to keep up since May when they lost ground along with the rest of the market. In fact, only utilities and consumer staples have kept up, which means, technically speaking, there's no "confirmation."
In plain English, this means...
 (Click here) PS: What's given in the video above is that one of two things can happen in the stock market. And that's something that usually goes without saying. But that "game" changes with a little-known market opened up by Congress in 2012. The type of wealth that can be created there - which can be thousands of times bigger than stock market gains - used to be reserved for just the rich and powerful... but now it's open to the average investor. Click here to learn more.
Key Takeaways:
- Why divergence signals big profits ahead if you know where to look.
- How to play a tactical reversal yet still remain true to longer term profits.
- Three easy steps to take right now that line up big profit potential.
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With credit conditions remaining excellent as the economy stays positive, the consensus of insiders is that the current state of banking is too good to pass up. One day Wall Street will wake up to the incredible earnings power of this sector, and until then you need to get in first on the best growth story in the market today. But that won't be a problem for Tim Melvin, who has developed a strategy replicating outstanding long-term gains without the same risks that cost most investors a fortune. Tim Melvin has found the financial superstars that could make massive gains all but imminent and secure. Click here to sign up for Tim Melvin's twice-weekly Max Wealth.
Member Spotlight: What Does Total Wealth Mean to You?
"Keith, I saw that China is insisting the U.S. lift its Huawei ban as part of some sort of trade truce. Do you think the U.S. will continue to have a strong arm in negotiations or could they give in? Could it help fix Huawei's issues here?" - Carol S.
Excellent question, Carol.
China wants the US to give in because that would be good for China. Not many people understand that having us get frustrated is a key part of their negotiating strategy. Regarding Huawei, I think the company will find a way around all this but that won't show up in stock prices for some time.
Thanks for being part of the Total Wealth Family and best regards, Keith
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