Over the weekend China and the US agree not to slap additional tariffs on each other’s goods as the two sides continue to negotiate a trade deal. Futures across the board are higher as a result as we head into the week. Friday we say small caps move higher leading the way with a 1.29% gain on the session. The S&P 500 and NASDAQ were up .58% and .48% respectively. A solid day across the board for the market despite the Russell Reconstitution. It has been nice to see this market push higher. We will need to continue to see the proper action and react accordingly.
Despite the outperformance recently IWM will need to much more to get itself back to all-time highs. Again, we would prefer to see small cap stocks lead this market. Great bull markets usually have small caps leading. Recently, it has been large cap technology names. AMZN and AAPL are two juggernauts. It would not surprise us to see these two hitting new highs once again. There are no guarantees, but there is a good shot we see these two leading the charge.
Not that much in the way of commentary as we continue to push forward with this market. There are no secrets here. Get long winners and stay long. Losers we will cut loose at a drop of a hat. If it is not performing it is time to move on. We want to be in winning names!
We wish you the best of luck this week with your trading. Yes, it will be shortened due to the July 4th holiday on Thursday. Trading will be light, but price still moves. We’ll focus on what matters. Keep grinding.
