"The Investor's Compass" Weekly Signals - 12/18/23
"The goal of a successful trader is to make the best trades. Money is secondary." — Alexander Elder
For the week, the broad markets continued their march higher with the tech heavy Nasdaq leading the way for the week up .57%, followed by the S&P was up .24%%, and the Dow was up .02%. Treasury yields were basically flat for the week and gold was down -3.32% for the week
Trades of the Week
Sells
Add/Initiate
Highlights
Grayscale Euthereum Trust (ETHE)
DynaLogic issued a Sell when ETHE was trading at $19.59 having ridden the Bitcoin rally. ETHE closed the week down -5.05%.
Linde PLC (LIN)
LIN is an engineering and chemicals processing company It’s stock hit an all time high on December 12 when DynaLogic issued a Sell signa. The stock is down -4.53% from the high.
Plug Power (PLUG)
PLUG is once again on the Add/Initiate list having sold off the previous week. Stock put in a strong move up 19.8% in three days.
Peloton (PTON)
PTON was our best performing stock up 12.6% from 12/12/ to 12/14 when a Sell signal was issued and stock closed down -4.8% the next day.
These examples highlight the core strengths of DynaLogic:
Timely Predictions: Our system's ability to forecast stock movements ahead of time can be a game-changer for investors looking to maximize gains and minimize losses.
Balanced Portfolio Management: By offering signals on both ends of the spectrum - sell and add/initiate - we help our subscribers maintain a balanced and diversified portfolio.
In essence, DynaLogic isn't just about following market trends; it's about staying a step ahead. Our recent signals exemplify how our insights can lead to informed decisions, yielding tangible benefits for our subscribers.
Ready to get all of our signals? Upgrade your membership with a 7 day free trial.
Quote of the Week
The goal of a successful trader is to make the best trades. Money is secondary." — Alexander Elder
DynaLogic's emphasis on high-probability trades aligns with the philosophy that the quality of the trade is paramount. The system is designed to highlight the trades with the highest potential based on historical data, rather than chasing profits blindly.
By incorporating RSI into our signal technology, we’ve made it easier than ever for our subscribers to spot & execute on our highest probability signals, and achieve superior investing results by emphasizing quality.
Market Pulse
📈 Market Trends: A December to Remember 📉
Stock Surge and Fed Signals
The past week marked a milestone for U.S. stock indexes, which soared by nearly 3%, buoyed by the Federal Reserve's dovish pivot hinting at a potential interest rate cut in 2024. The Dow Jones hit record highs, and the S&P 500 neared its peak, signaling a robust recovery from this year's earlier lows. The NASDAQ, though still 8% from its peak, joined the rally with significant gains.
Source: Bloomberg. Magnificent 7 includes Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, Tesla.
Bond Market Blossoms
A notable drop in Treasury yields, with the 10-year bond dipping below 4%, reflects the market's anticipation of an easing monetary policy. This rate retreat has contributed to a strong bond price rally, giving investors a reprieve from the earlier rate hike impacts.
Small-Cap Stocks Shine
Amidst the widespread market upswing, small-cap stocks stood out with a nearly 6% rise post-Fed announcement. The Russell 2000 Index has jumped more than 21% since late October, showcasing investor confidence in the broader market's growth potential.
Earnings and Economy
Analysts project an optimistic 11.8% earnings growth for S&P 500 companies in 2024, surpassing the decade's average and setting a positive tone for the year ahead. Moreover, the U.S. economy's resilience shines through with a GDP growth rate adjustment to 5.2%, up from an initial 4.9% estimate.
Looking Ahead
As we approach the year's end, the spotlight shifts to the Personal Consumption Expenditures Price Index, with investors eager for signs of continued moderation in U.S. inflation. Meanwhile, Wall Street's expectations for an economic soft landing are reflected in stable unemployment rate forecasts and a possible Fed shift from rate hikes to cuts, offering a favorable outlook for the markets.
Next Week's Watchlist
Investors will focus on key economic indicators, including the Consumer Price Index, with hopes for clarity on inflation trends and the Fed's next moves. As 2023 comes to a close, market optimism is palpable, with potential rate cuts on the horizon and a solid economic foundation fueling investor confidence into the new year.
The Week Ahead: December 11-15
Monday: Quiet start with no major reports scheduled.
Tuesday: Consumer Price Index insights.
Wednesday: A peek into the Fed's policy conclusions.
Thursday: Retail sales data and more.
Friday: Market reactions and adjustments post-Fed meet.
In Case You Missed It
DynaLogic Unveils RSI-Enhanced Trading Signals
A new era of trading intelligence has arrived at DynaLogic. We proudly introduce the integration of the Relative Strength Indicator (RSI) into our trading signals, offering a robust layer of precision to your investment strategy. Our in-depth analysis has illuminated the power of this synergy, with a remarkable 87.5% of identified oversold signals since October 27 leading to positive outcomes by December 7.
Among these were standout movements like ARKK surging by 41.6% and KRNT by 33.4%, showcasing the potent combination of our DynaLogic signals with the RSI metric.
As a momentum oscillator, RSI pinpoints overbought or oversold market conditions, making it easier for our subscribers to spot the stocks most likely to have a reversal, and thus the highest probability trades to act on. It's not just about knowing when to act—it's about the confidence to make those critical decisions. With RSI, we're elevating the science of timing, trend confirmation, divergence detection, and strategic entries and exits.
Discover the full scope of this transformative development and understand how it fortifies the backbone of our DynaLogic signals. Embrace the change, seize the opportunity, and let's cultivate your portfolio's growth together.
Read the full announcement and dive into the examples that showcase our enhanced signal strength.
Our System
The DynaLogic signals help you know WHEN TO SELL and WHEN TO ADD to the stocks you own or are considering for purchase. Unlike other services, we don’t attempt to recommend stocks or predict what future prices will be. Our Add/Initiate and Sell signals are based solely on historical price movement and pre-established price targets.
Understanding when to buy or sell in the market can be tricky, and our emotions can lead even experienced investors to make poor decisions. With DynaLogic, you get a more straightforward approach. Instead of trying to guess the best time to act, our system tells you clearly. We have a planned way to help you take some profits, letting you spread out and protect your investments, while also alerting you to opportune moments to add to or start a position.
Why use DynaLogic? Our system helps you use the market's ups and downs to your benefit. When a stock goes up and we suggest selling some of it, it's because that's how our system is set up. We help you sell in parts, so you can keep investing over time and take out profits in a planned way. This means less guesswork and fewer regrets. When a stock goes down, we alert you to opportune moments to add to your position, or open a position in a stock you’ve been following.
Here's the promise: Follow the system, detach from the market noise, and witness long-term profitability. We've got the case studies to prove it.
Don't sit on the sidelines. Take advantage of our 7 day free trial today!
Think differently with DynaLogic. It's not about timing the market; it's about prepping for its every move. Ready to try? Claim your free trial now.
"DynaLogic doesn’t predict the future; it prepares you for it!"
Still on the fence? Find out what our premium subscribers think:
Testimonials
The signals come through and overpower my idea of what I *think* I should do regarding my investments.
It is cold, factual and driven by data - quite the opposite of my Extroverted Feeler diagnosis by the Insights Discovery test. Actual quote: "He may jump to conclusions without gathering all the necessary information or taking the time to really understand the situation."
With work and family, taking the time to gather the necessary information about my investments is extremely difficult so I need to find my opposite personality type, "the observer" and have done so with Dynalogic. - Jamie G.
I've been following DynaLogic for a while now. It’s an invaluable tool to use as part of my investing strategy. I find it’s difficult for me to sell stocks when they are rising, only to kick myself when I didn't take gains if it drops down the road. So many publications focus on telling you what stocks to buy but I haven't found anything like this that alerts you when to sell which is really helpful when you can't monitor all your stocks all the time. I've also had some really nice gains off the buy signals too. - Kevin F.
The predetermined buy and sell signals built into the strategy make life easier and a more efficient use of time as the signals take the emotion out of the equation. Terry S.
I've been using DynaLogic for 6 months now. I've already seen a big impact and it's provided me a roadmap for sound decision making. The best part... I am not one that is trying to make the decisions. I've spent far too many years guessing what to do with my investments based on what feels right. This lays it all out in a simple way and tells me when and how to make decisions. Wesley L.
After reading, then sleeping on it, then rereading, the mathematics make good sense. Thanks for saving me from my emotions 🙂 – Dale R
I've been following for a while and just observing, I've missed out on major increases, while losing 20% trading on my emotions, I could've tripled that amount in gains if I followed your signals!
It's a no Brainer to sign up...I'm excited to see where this leads.
Now I can focus on increasing my income while following your trade signals. Tim O.
If you are a new subscriber, for help understanding how DynaLogic works and how to properly use our system, head to this post which contains articles on how to get started with DynaLogic and common questions.
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