Last post, I was curious as to why our portfolio was hardly hurt by the recent stock smash, and the bit of recovery that had gone on here in the month of October.
I did a chart check of each of our 22 concentrated holdings and could see, using 50-day and 200-day moving averages, that 9 of our stocks are in bear markets of their own, like the major market indexes are, but that 13 were not, and could still be said to be in their own bull markets, even after all that has taken place since July.
Well, looking at all of them again today… it still holds true that 9 are in a bearish looking pattern, and 13 are still bullish in their price appearance, but I wanted to know how many might be among the market’s current leaders.
They would have to be both bullish, and either at new highs, or within a very short distance of attaining a new high.
Of those 13 that are still bullish in the chart appearance, 8 of our 22 are among this market’s leaders! Look again at CHD, CMCSA, COST, ECL, FDS, HRL, NKE and TJX.
Among those, 4 have very recently made new highs in price… COST, ECL, HRL and NKE.
Not bad considering I’m not looking for anything other than the very safest-dividend payers and growers! But, these tend to be among the very highest quality companies in the world, and so, from a purely fundamental perspective, they might be expected to be among the market’s better performers as well.
It’s probably time I wrote again of my methodology, as it has been quite a while.
As of 6:00 a.m. EST, the stock market futures trading overseas are up by at 1/3 to 4/10ths of 1%… go figure! Have a glorious day!
Here’s to your successful investing!
Harold F Crowell