From the Desk of Kimmy Sokoloff

That was a nice pop for the market this morning, and then a quick fade up until lunch time.

Consolidation would be healthy.

Today’s Hot Corner list is a short one.

Mubadala Investment Company, a sovereign wealth fund of the United Arab Emirates, filed a 13D for NextDecade Corporation $NEXT revealing an initial stake of 9.00%.

From the Desk of Kimmy Sokoloff

We had a few banks report earnings this morning, and they're all ticking higher.

The S&P 500 did touch the 4,500 zone yesterday.

I think a cool-off would be warranted soon.

From the Desk of Steve Strazza @Sstrazza and Alfonso Depablos @AlfCharts

Welcome to The Junior International Hall of Famers.

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-listed international stocks, or ADRs.

This scan is composed of the next 100 largest stocks by market cap, those that come after the top 100 and are thus covered by the International Hall of Famers universe.

Many of these names will someday graduate and join our original International Hall Of Famers list. The idea here is to catch these big trends as early on as possible.

Let’s dive right in and check out what these future big boys are up to.

This is our Junior International Hall of Famers list:

From the Desk of Kimmy Sokoloff

This market is on a tear and making new highs.

$SPX hit 4,500, a new milestone.

We're extended, but we can stay this way for a while.

Today’s Hot Corner list is a short one.

KGH Ltd filed a 13G for Diamond Offshore Drilling Inc $DO revealing an increase in its ownership stake from 7.15% to 7.50%.

From the Desk of Kimmy Sokoloff

We have PPI coming out this morning at 8:30 a.m. ET and a few Fed speakers on the schedule as well.

It looks like $SPY will probably touch 450.

Today, like yesterday, I'll probably be looking for counter-trend trade shorts. It's harder at this point to find longs.

From the Desk of Kimmy Sokoloff

CPI data for June came out this morning, and the market liked the news.

The indices are flying high.

From the Desk of Steve Strazza @Sstrazza

Dividend Aristocrats are easily some of the most desirable investments on Wall Street.

These are the names that have increased dividends for at least 25 years, providing steadily increasing income to long-term-minded shareholders.

As you can imagine, the companies making up this prestigious list are some of the most recognizable brands in the world.

Coca-Cola, Walmart, and Johnson & Johnson are just a few of the household names making the cut.

Here at All Star Charts, we like to stay ahead of the curve. That's why we're turning our attention to the future aristocrats.

In an effort to seek out the next generation of the cream-of-the-crop dividend plays, we're curating a list of stocks that have raised their payouts every year for five to nine years.

We call them the Young Aristocrats, and the idea is that these are "stocks that pay you to make money."

Imagine if years of consistent dividend growth and high momentum and relative strength had a baby, leaving you with the best of the emerging dividend giants that are outperforming the averages.

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 The Hall of Famers, The 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.

Now, we're also highlighting lagging stocks on a recurring basis.

Welcome to the Short Report.

From the Desk of Kimmy Sokoloff

We have CPI data for June coming out at 8:30 a.m. ET.

I'll hold off on sharing stock ideas this morning until we have clarity on those numbers.

While many investors have been focused on arbitrary lagging indicators like the economy, we rather keep our attention on reality.

We're grown adults. We don't need bedtime stories to go to sleep at night. So fairytales about recessions, or inflations, or bidens are just not anything we're interested in.

We get paid to sell things at higher prices than where we buy them.

And the bet we've been making for a long time is that the negative correlation between the US Dollar and stocks will remain in place.

That bet has paid off handsomely for us and anyone listening.

So as investors we all have a choice. Do we bet that the correlation is all of a sudden going to change tomorrow? Or do we bet that things just remain the same?

Here is the US Dollar Index consolidating in what appears to be a classic continuation pattern, within an ongoing downtrend: