The Hottest Sector In the US Stock Market Is Now Microcap Stocks - Mike Swanson (12/17/2013)
The hottest sector in the US stock market is now the microcap stocks - stocks with market caps under $300 million. What has happened is that the big cap dividend stocks that everyone is familiar with - the Proctor and Gambles and Johnsons & Johnsons - have already gone up so much that they are at stupid valuations.
But the stock market is still bullish and money is still going into it. Individual investors have given mutual fund managers and institutional investors billions of dollars to invest this year - they've in fact put more money into the stock market than they have in any of the past thirteen years and as more of their CD's come due are likely to give them more money. They will do so until they run out than the stock market bull market will end.
That money must go somewhere, so the money managers are looking for small cap stocks with cheap valuations to put the money to work and are chasing pure technical analysis stock trend momentum plays.
The result is a boom in the small caps. And if you want to trade for quick gains this has now become the place to go, because it is now the hottest thing in the US stock market.
I know a lot of different investors and traders who all use various strategies in the stock market. One person I know is Matt Morris who specializes in small cap trading.
Thursday night we are going to do a live webinar together in which he will talk about several small caps he is playing now that he thinks will continue higher over the next few months and discuss overall trading methods for these type of stocks.
To join this webinar click here.
Most Recent Posts
- Today's Top Stock Market Story is China - Mike Swanson (05/03/2016)
- Dave Skarica Interivew Update on Junior Gold Mining Stocks - Mike Swanson (05/02/2016)
- Gold Stocks Are Now Entering A Stairway to Heaven Rally - Mike Swanson (04/29/2016)
- Beware Facebook As FANGS Are Biting Investors - Mike Swanson (04/28/2016)
- Donald Trump Will Fire Janet Yellen and Be Trapped - Mike Swanson (04/27/2016)
- This Key Stock Market Indicator Is Misleading People - Mike Swanson (04/25/2016)
- Podcast - Ike Iossif On What Stock Market Internals Really Are Showing - Mike Swanson (04/22/2016)
- Earnings Season Brings Stock Blow Ups While Mining Stocks Soar More: Stock Market Mastermind Session with David Skarica - Mike Swanson (04/22/2016)
- Gold Stocks Up Again Today As Many Feel Left Out - Mike Swanson (04/21/2016)
- Today's Top Volume ETF Is Crazy and Toxic - Mike Swanson (04/20/2016)
Get Our Full Report: The Saudi 9/11 Connection and Oil Prices
The free May issue of WSW Monthly is devoted to examining the Saudi 9/11 connection and their operations in the world oil market. See our price forecast for oil and gold prices. To get this report click here