Please find this month’s Market Commentary newsletter which contains our view on the stock market based upon fundamental and technical analysis along with some recommended investments for the current market.
The current pattern of each attempted rally in equity indices faltering before matching the previous peak is an ominous one. There have been plenty of ‘buy the dips’ calls from the bulls, each one so far condemned to failure. Seasonals do not turn supportive for another month and therefore, short-term risks remain tilted to the downside.
However, as the old stock market adage goes ‘only monkeys pick bottoms’ and if you can look through the next 20 trading days, we would argue that now is an opportune time for picking up quality companies at great prices. Numerous technical indicators suggest the market is putting in a bottom, if one has not already been formed. In this month’s Market Commentary, we look at these in detail and provide some recommendations for this market.