Momentum Monday – I Am Not Complaining

Good Monday morning everyone…

As a reminder, Marketsmith (by Investor’s Business Daily) is now a sponsor of the weekly show. All the charts you have been seeing in the videos and will continue to see are from Marketsmith. They are offering my readers a three week trial for $19.95. Click this link if you would like to try it out.

I will get right to this week’s YouTube show/episode of Momentum Monday. You can watch/listen right here. I have embedded it below on the blog:

Ivanhoff has a good summary of the week and strength…

We judge current sentiment by the market’s reaction to the news. Apple, Amazon, Shopify missed earnings estimates citing supply chain difficulties and yet finished the week where they started it or higher. Google and Microsoft reported another set of strong numbers and rocketed to new all-time highs. Bad news counts for nothing and good news leads to big moves higher. This is one resilient market.

Anything clean energy continues to be on fire. TSLA had another banner week cementing its place in the trillion-dollar market cap club. Enphase (ENPH) crushed earnings estimates and fueled a major rally in the solar industry. The easiest way to gain exposure to this theme is the ETF PBW, which doesn’t include only solar stocks, but also electric vehicles makers, batteries, other parts, clear energy utilities, lithium, and other rare-earth metals, fuel cells, charging stations, etc.

US Treasuries rallied, interest rates calmed down for the moment which has been a tailwind for high-multiple software stocks. Yes, there were the usual sizable earnings blowups in the sector like ZEN, UPWK, TWLO but for the most part software names have been stable and pushing higher – U, SNOW, CRWD, ZS, DDOG, NCNO, TEAM, MANH, IGV, etc.

There are so many great growth stocks leading, of course Tesla and Cloudflare and Google come to mind.

The big lesson for me continues to be – use the products. Not owning a Tesla has cost me millions in profits because I likely would have bought the stock as well.

Remember to scan the all-time highs for the list of stocks that have the strongest price action. Those stocks are the ones that tend to continue to lead.

Here is the free Stocktwits 25 weekly lists.

Charlie has his 7 chart Sunday here.

Nikita has her update on the SPAC markets.

Have a great week.

Disclaimer: All information provided is for educational purposes only and does not constitute investment, legal or tax advice, or an offer to buy or sell any security. For full disclosures, click here