In today’s Daily Digest, we’ll review the following:

1. New position in EEM.
2. No adjustments are needed today.
3. No exits since the last report.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

From the Desk of Steve Strazza @Sstrazza

We love our bottoms-up scans here at All Star Charts. We tend to get really creative when making new universes as we want to be sure they will deliver us the best opportunities the market has to offer.

However, when it comes to this one, it couldn't be any simpler!

With the goal of finding more bullish setups, we have decided to expand one of our favorite scans and broaden our regular coverage of the largest US stocks.

Welcome to The Junior Hall of Famers.

This scan is composed of the next 150 largest stocks by market cap, those that come after the top 150 and are thus covered by the Hall of Famers universe. Many of these names will someday graduate and join our original Hall Of Famers list. The idea here is to catch these big trends as early on as possible.

There is no need to overcomplicate things. Market cap is a quality filter at the end of the day. It only grows if price is rising. That's good enough for us.

The bottom line is it is a bull market. We...

I think I surprised JC during this morning's internal analyst Call. He asked me if I had any "spicy trades" in mind.

In fact, I did have one.

It's a bet on an upcoming earnings release kicking a dog semiconductor stock while it's down, sending prices even lower.

When it comes to Canada, it's not about tariffs or political headlines making the rounds these days.

The real focus is the Canadian Dollar.

With nearly a 10% weighting in the Dollar Index $DXY, CAD is a crucial piece of the broader currency puzzle.

CAD/USD is pressing against a decade-long support zone, hovering around a key level that triggered strong reversals in 2016 and 2020.

What makes this even more significant is CAD’s close correlation with commodities—especially oil and metals—due to Canada’s heavy exposure to natural resources.

Just look at how the Canadian Dollar has historically traded alongside Crude Oil over the past years.

They look almost identical.

They say history doesn’t repeat, but it often rhymes. If CAD/USD rips higher from here and buyers defend support around 0.68, we can expect energy stocks, metals, and...

From the Desk of Alfonso De Pablos @AlfCharts

Welcome to The 2 to 100 Club.

In this scan, we look to identify the strongest growth stocks as they climb the market-cap ladder from small- to mid- to large- and, ultimately, to mega cap status (over $200B).

Once they graduate from small-cap to mid-cap status (over $2B), they come on our radar. Likewise, when they surpass the roughly $30B mark, they roll off our list.

But the scan doesn't just end there.

We only want to look at the strongest growth industries in the market, as that is typically where these potential 50-baggers come from.

Some of the best performers in recent decades – stocks like Priceline, Amazon, Netflix, Salesforce, and myriad others – would have been on this list at some point during their journey to becoming the market behemoths they are today.

When you look at the stocks in our table, you'll notice we're only focused on Technology and Growth industry groups such as Software, Semiconductors,...

In today’s Daily Digest, we’ll review the following:

1. No new positions today.
2. Adjustment to GLD position.
3. No exits since the last report.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

We've discussed this all year. What's the catalyst to send stocks and other risk assets ripping in the first half of the year?

It's the U.S. Dollar. 

I continue to be impressed with just how resilient stocks have been, despite the Dollar's relentless bid over the past 4-5 months.

And now here we are, with so many people crying all weekend about something they call "tariffs", and they're slamming the Dollar.

It's all happening right at the 61.8% retracement of the entire '22-'23 decline. Do you think that's a coincidence?

I do not.

When it comes to the stock market, we always like to do a sum-of-the-parts analysis, whether it's the S&P500, or Dow Industrials or NYSE components. We call it market breadth.

We go through the exact same process in forex markets.

If you think that the US Dollar is going to fall, sending stocks and other risk assets souring, then you'll need to see a bid in other forex markets.

We can go one by one if you want. But I brought 2 important ones with me that I think are about to rip, confirming the US Dollar weakness.

Here's the Canadian Dollar breaking below former support, and...

Suppose you're watching the evening cable news, reading the New York Times (or newspaper of your choice), or paying attention to your echo chamber on the socials. You'd be right to assume all the economies of the world (both friends and enemies of the U.S.) are staring into the abyss and their stock markets are about to be cut in half.

That's cool if you'd like to live that way. I doubt it'll make you any money, though.

You're smarter than that. This is why you're here. We're not affected by headlines. We follow price.

And the relentless bid in Chinese stocks cannot be ignored.

From the Desk of Steve Strazza @Sstrazza

When investing in the stock market, we always want to approach it as "a market of stocks."

Regardless of the environment, there are always stocks showing leadership and trending higher.

We may have to look harder to identify them depending on current market conditions. But there are always stocks that are going up.

The same can be said for weak stocks. Regardless of the environment, there are always stocks that are going down, too. 

We already have multiple scans focusing on stocks making all-time highs, such as Hall of Famers, Minor Leaguers, and the 2 to 100 Club.

We filter these universes for stocks that are exhibiting the best momentum and relative strength characteristics. 

Clearly, we spend a lot of time identifying and writing about leading stocks every week, via multiple reports.

...

In today’s Daily Digest, we’ll review the following:

1. New position in XLI.
2. No adjustments are needed today.
3. No exits since the last report.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

People are scared.

They're getting margin called.

Exchanges forced them out of their positions because they were so recklessly long.

In fact, the crypto market saw over $2B in liquidations these last few days.

Nine times out of ten, these are tremendous periods of opportunity because shortly after the market finds a bottom.

I went live yesterday to discuss what's happened to cause this volatility and more importantly what we're doing about it to take advantage and make money.

You can watch that replay by clicking here.