The Danger Of Buying The Next Dip

It is a common refrain heard from many cocksure investors today. Sure, the market is a bit expensive and overdue for a correction, but I’ll simply wait for the inevitable -10% pullback, buy the dip and ride the market to new heights. But does such a strategy make sense at this stage of the graying bull market? A check on market history over the last century provides some useful clues.

Please click on the link to read more of my article on Seeking Alpha.

Bear Repellent For Your Stock Portfolio

Suppose you are concerned about the sustainability of the stock market rally. You believe the fundamentals underlying the economy and the markets are built on sand, and you may have even felt this way for a long time. But you also see a stock market that seems to only rise day after day after day. This results in a dilemma. You do not want to buy into the market in which you are already deeply skeptical the moment it finally peaks and enters a new bear market. The mere thought of it may even be distasteful. Yet you also may not want to absorb the opportunity cost of standing aside if stocks are insistent on adding a few more months or even years to the current bull market. What is the conflicted stock investor to do? The answer? Apply bear repellent where possible to your stock portfolio.

Please click on the link to read more of my article on Seeking Alpha.

4 Aristocrats Trading With The Hoi Polloi

It has been a great run for the Dividend Aristocrats in recent years. Since the initial outbreak of the financial crisis in July 2007, this group of high quality companies with at least 25 consecutive years of rising dividends has outperformed the broader market as measured by the S&P 500 Index by a cumulative +10%. But while many of the individual companies in the group have performed just as well if not better than the broader market over this time period, a select few have trailed behind with the stock market hoi polloi. And it is among these aristocratic laggards where some interesting value and potential return opportunities may reside going forward.

Please click on the link to read more of my article on Seeking Alpha.

The Stock Sectors Set To Streak Into 2015

The Fed’s QE3 stimulus program is scheduled to finally come to an end in November 2014 after an extended period of tapering. Recent history suggests that this does not bode well for the U.S. stock market, which has struggled when standing naked without the crutch of Fed stimulus in the post crisis period. But not all stocks are created equally. For while many stock sectors certainly trailed along with the broader market without the steady flood of liquidity from the Fed, a select few demonstrated the ability to hold up well. Some even showed the ability to achieve solid gains. And while history may not necessarily repeat itself the next time around, these previously winning sectors may warrant some extra attention as QE3 draws to a close and we streak toward 2015.

Please click on the link to read more of my article on Seeking Alpha.

Surveying The Stock Market Battle Lines

The U.S. stock market appears sound following another eventful week. After exploding to new all-time highs on Monday and Tuesday, stocks were turned back at the 1900 level on the S&P 500 Index and finished the week effectively flat from last Friday. But while the stock market uptrend remains firmly intact, signs of erosion continue to accumulate under the surface. And given that it has been an unusually long time since the stock market has endured a meaningful double-digit pullback, it is worthwhile to step back from the daily lens and survey the stock market battlefield from a much broader view in an effort to determine what might be coming in the days, weeks and months ahead.

Please click on the link to read more of my article on Seeking Alpha.


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