From the desk of Steve Strazza @sstrazza

At the beginning of each week, we publish performance tables for a variety of different asset classes and categories, along with commentary on each.

Looking at the past helps put the future into context. In this post, we review the absolute and relative trends at play and preview some of the things we’re watching to profit in the weeks and months ahead.

Every major asset class on Earth continues to illustrate risk-taking behavior on the part of market participants.

Yields, Oil, Equities, Base Metals, the Australian Dollar -- there's an overwhelming amount of new highs in offensive areas of the market right now. The weight of the evidence continues to suggest that we want to be buyers, not sellers, of stocks.

From the desk of Steve Strazza @sstrazza and Ian Culley @ianculley

We just revised and updated our Commodities chartbook and there probably couldn't have been a better time as we believe we've just entered the early innings of a new Commodities Supercycle. 

As we reviewed each passing chart our bullish thesis on commodities was reinforced as the same overarching theme became clearer and clearer... Everything seems to be trending higher!

With a slew of massive bases, bullish breakouts, and major trend reversals, this once left-for-dead asset class is now demanding investors' attention.

And participation continues to expand as we're seeing strength across all subgroups. From base metals to grains and softs, it's all working.

Now let's dive into a few charts that illustrate this theme. 

From the desk of Steve Strazza @sstrazza and Louis Sykes @haumicharts

In a recent post discussing cyclicals, we posed the following question:

Are Energy and Financial stocks about to lead the market?

Cyclical groups are catching all the right tailwinds in this environment.

Crude Oil and Yields are pressing to new 52-week highs as investors continue to favor more economically-sensitive stocks and commodities in general. This is a bullish development and supports higher prices for some of the most beaten-down risk assets... even Financials and Energy.

As participation has expanded, we've been vocal about looking for the winners in each group without a sector bias based on relative strength.

From the desk of Steve Strazza @sstrazza and Louis Sykes @haumicharts

Are we finally entering the long-awaited alt-season?

We're seeing incredibly healthy rotation within the Cryptocurrency space, which we can only interpret as support for higher prices for this group of digital assets moving forward.

We've been bullish on Bitcoin $BTC and crypto since last summer when BTC was near 10,000.

Here's a post in October where JC outlined that the path of least resistance was higher in BTC, and another in December where we outlined a target, which was hit in a matter of days. Our current target for the Crypto leader is 70,000.

The price action is clear: Crypto continues to benefit from a well-established uptrend.

Our main focus today is the broadening participation of many Altcoins (lingo for any Cryptocurrency not named Bitcoin).

From the desk of Steve Strazza @Sstrazza.

We recently held February’s Monthly Conference Call which our Premium Members can access and rewatch here.

In this post, we’ll provide a summary of the call by highlighting 5 of the most important charts/topics we covered along with commentary on each.

Let’s dive into it.

From the desk of Steve Strazza @sstrazza

At the beginning of each week, we publish performance tables for a variety of different asset classes and categories along with commentary on each.

Looking at the past helps put the future into context. In this post, we review the absolute and relative trends at play and preview some of the things we’re watching to profit in the weeks and months ahead.

We continue to harp on the risk-on themes that support our bullish macro thesis.

Rotation down the market-cap scale, commodity strength, and defensive alternatives making new relative lows have been some major themes we continue to see play out.

From the desk of Steve Strazza @sstrazza

If Bitcoin's run to $50,000 or the latest YOLO stocks aren't too distracting right now, you might have noticed Crude Oil just registered new 52-week highs for the first time since fall 2018.

Or maybe you're ahead of the curve and caught our post about the Energy Sector experiencing what looks like a bullish initiation thrust just a few weeks ago.

Or perhaps you saw Financials just closed the past week at fresh all-time highs... finally breaking out after almost 15-years of no progress!

On top of all this action, the US 10-Year Yield is also pressing on its highest level in almost a year.

It's clear that more cyclical stocks and economically sensitive Commodities are taking on leadership roles. We're in quite the risk-on environment.

Considering the evidence we just listed, it's finally time to address the elephant in the room...

From the desk of Steve Strazza @sstrazza

Another fresh Mystery Chart!

What we do here is take a chart that's captured our attention and remove the x/y-axes as well as any other other labels that'd help identify it. This chart can be any security of any asset of any timeframe - on absolute or relative basis.

Maybe it's a ratio, a custom index, or maybe price is inverted. It could be all three!

The point is, when we aren't able to recognize what's in front of us, we put aside any biases we may have and scrutinize it objectively.

While you can try to guess the chart, the point is to make a decision...

So let us know what it is… Buy, Sell, or Do Nothing?

From the desk of Steve Strazza @Sstrazza

In a further effort to identify individual equities that fit within our larger Macro thesis, we recently rolled out our latest bottoms-up scan: "The Minor Leaguers."

We write a post every other week where we outline some of our favorite setups from the watchlist.

We've already had some great trades from this universe and couldn't be happier about the early feedback.

Moving forward, we'll be rotating this column with "Under The Hood" each week.

In order to make it onto our Minor League list, you must have a market cap between $1 and $2B. There are also price and liquidity filters.

Then, we simply sort the stocks by their percentage from new highs. Easy done.

From the desk of Steve Strazza @sstrazza and Louis Sykes @haumicharts

Leadership in this environment is stretching far and wide.

We're seeing a growing number of industry groups and areas not only making new highs but also outperforming and offering us more and more avenues to express our bullish thesis on stocks and risk assets in general.

Last week, we discussed Commodities and Ags.

The week before that, we dove into Chinese equities.

And for some time now, we've been vocal on SMIDs in general.

The point is, with such an overwhelming amount of leadership these days, we can be picky and place our bets on only the best of the best in each group.

In today's post, we'll explore a hot new growth industry we haven't covered in much detail yet - Autonomous Vehicles.

From the desk of Steve Strazza @sstrazza and Louis Sykes @haumicharts

As JC pointed out the other day, this week we saw the most amount of new 52-week highs in the history of the Nasdaq.

That's right. The highest reading ever. That's bullish.

We've also witnessed another very encouraging development in market internals of late.

Let's talk about it...

From the desk of Louis Sykes @haumicharts

Two ETFs tracking the same sector, industry, or niche area can yield significantly different outcomes.

We see it all the time.

I'll share a few examples, along with a short discussion of what I've taken away from it all.