Will the S&P Break it’s All-Time High?

By |

Watch

Midas Letter

The Digital Businesss Channel for Cannabis, Crypto and Technology Stocks.

Midas Letter is provided as a source of information only, and is in no way to be construed as investment advice. James West, the author and publisher of the Midas Letter, is not authorized to provide investor advice, and provides this information only to readers who are interested in knowing what he is investing in and how he reaches such decisions.

Investing in emerging public companies involves a high degree of risk and investors in such companies could lose all their money. Always consult a duly accredited investment professional in your jurisdiction prior to making any investment decision.

Midas Letter occasionally accepts fees for advertising and sponsorship from public companies featured on this site. James West and/or Midas Letter may also receive compensation from companies affiliated with companies featured on this site. James West and/or Midas Letter also invests in companies on this site and so readers should view all information on this site as biased.

Who would have thought that with the stock market lows of late-March, we would be in another position to test record highs so soon?

The S&P 500 Index (INDEXSP:.INX), having returned 50% since then, is just below the record. Any price move above 3,386.20 would break back into that all-time high territory.

The last time the index was in this position was on February 19th, 2020. Globally, we have been plagued with negative economic news since then: with Coronavirus, rising geopolitical tensions, federal reserve policies, etc.

We had a temporary money outflow from NASDAQ-100 (INDEXNASDAQ:NDX) stocks (the largest tech names) into value stocks (ex. banks). But, here we are again testing that February 19th price level.

Technology companies have become the new flight-to-safety when markets selloff. So, for those traders looking to invest into value stocks because they seem cheap, relatively speaking, if markets dip, those will be the same stocks that will be hit the hardest. We know that doesn’t make 100% sense from a fundamental perspective, but you just can’t bet against tech in these unprecedented times.

Watch the full interview for strategies to buy the technology stocks that have already been on a tear. 

Midas Letter is provided as a source of information only, and is in no way to be construed as investment advice. James West, the author and publisher of the Midas Letter, is not authorized to provide investor advice, and provides this information only to readers who are interested in knowing what he is investing in and how he reaches such decisions.

Investing in emerging public companies involves a high degree of risk and investors in such companies could lose all their money. Always consult a duly accredited investment professional in your jurisdiction prior to making any investment decision.

Midas Letter occasionally accepts fees for advertising and sponsorship from public companies featured on this site. James West and/or Midas Letter may also receive compensation from companies affiliated with companies featured on this site. James West and/or Midas Letter also invests in companies on this site and so readers should view all information on this site as biased.