It’s easy to understand what a leading economic indicator is and why it leads.  If purchasing managers are increasing their buying, it’s because their businesses need new equipment to do business with.  Increasing consumer confidence will lead to more consumer spending.  Simple.
Trailing indicators are a little more complicated, and the amount of attention being paid [...]

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I am far from an economist, thank goodness, but with all the worry during the past week about the economic recovery coming unglued, I wanted to inject some facts (gasp!) into the conversation.  Twice before in Cabot Wealth Advisory I’ve touched on the lone economic indicator I follow regularly–the Economic Cycle Research Institute’s (ECRI) Weekly [...]

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You can say all you want that we’ve been in a secular bear market since 2000 … and you may be right.  But secular bear or not, that didn’t stop many big winners from lifting off from 2003-2007, including Apple, Google, First Solar, Crocs, Research in Motion, Coach, XM Satellite Radio, Intuitive Surgical, Potash, Mosaic, [...]

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A couple of weeks ago, I touched on a couple of so-called blast-off indicators, including one that likely triggered a green light a couple of weeks ago when 90% of all NYSE stocks rose above their 10-week moving averages. I want to expand upon it here, as well as tell you about a couple of [...]

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When it comes to market timing, I prefer to keep it simple, and that’s exactly what my Letters do.  For the most part, my timing is based on two things–the trend of the overall market, and the action of leading stocks.  One pertains to the overall market’s health, while the other tracks the stocks I [...]

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