Try as they may, stocks just can’t seem to generate enough momentum in either direction to extricate themselves from their current trading range.
The economic data, Q1 earnings reports and macro-economic influences have all been mixed. So mixed, in fact, that there aren’t enough tailwinds to propel the S&P 500 past the 2,100 level—and there aren’t enough headwinds to push the broad measure of the domestic market down much below 1,950.
Now, if you’re a buy-and-hold, index-fund investor, you’re probably wondering when you are going to finally see some results out of this 2016 market. So far this year, that S&P 500 fund has delivered you just about zero-percent performance.
That’s the kind of result we investment pros call “dead money,” and that virtual flat line is not what you want to see in your portfolio.
So, what do you do when the market is mired in a dead-money trading range?
My preferred method of avoidance is to find stocks and targeted exchange-traded funds (ETFs) capable of a running higher in spite of the broad-market’s flat-line dance.
That’s exactly what we’ve done in my Next Week’s Winners advisory service, and it’s what we’ll continue to do in our new issue Monday with two such recommendations.
Here’s a sneak peek…
Preview Trade #1
When the world has a seemingly insatiable appetite for a particular product, investors need to take note.
In fact, this product’s global demand surged some 21% during the first quarter, the biggest such quarterly spike since the first quarter of 2009.
What I like best about this timeless investment is that’s it’s generally not directly correlated with the stock market. In fact, it’s more correlated with the overall mood of the global economy.
Given that deep concerns persist over global growth, it should be no surprise that this targeted, sector-specific ETF is one that belongs in your portfolio.
Preview Trade #2
As many of my regular readers know, I’m all about my pets. Hey, it comes with the territory when you own a horse ranch in Southern California. In that role, I spend plenty of time caring for the horses, the goats, the chickens, as well as my dog and my myriad barn cats.
One company that’s on my next buy list also happens to help me take very good care of my furry friends. This company makes the stuff that keeps them free of pests, parasites and other nasty ailments. It also supplies veterinary labs with the testing equipment needed to precisely diagnose various common pet maladies.
Due to the company’s recent success, the stock now is on the verge of a new breakout to new 52-week highs. That comes after a nice basing period that formed a distinctly bullish technical chart pattern. I say that if you love your pets, and you love your profits, as much as I do, then you’ll want to make sure you have this stock in your portfolio.
If you’d like to find out more about these stocks, as well as the other market-beating stocks in my Next Week’s Winners advisory service, I invite you to check it out right now.