Other than the earnings, which stocks can have an unusual response to, it is the transition from initial economic recovery to perhaps a more sustained expansion within the U.S. and globally.
The pandemic has taken its toll but we might be seeing a recovery across the board. This could be delta variant dependent.
BA responded with some blowout figures yesterday and this stock is a recovery play longer term. Not one we are involved with.
While we are not blanket buying everything in sight, partly as we never blanket buy and partly as we already have a good size book, we are looking for opportunities.
If you hold just a few positions, be sure to take this time of uncertainty for the majority and make it a period of pilot positions to promote your portfolio by testing the water.
We have discussed the market recovery potential since January 2021 in the weekly webinars and if it continues this course, there will come a point when everyone will be thinking the market is recovering and that is then when we want to be exercising caution.
As pointed out on the last webinar, this week we were not as bullish as we have been in the past few weeks. However, this might change as some big dogs have released their earnings this week.
Today we await a few more of our companies to report their earnings so it may be another day of mainly standing aside. However, if opportunities arise, we will look to enter, assuming low risk.
Let’s go trade!