Astute Strategist Blog

Market Context
Good Saturday,

How resilient is the stock market? Looking back at where the market was in December of 2018 and where we are now, it has been a straight shot to the upside. Do any of us remember the S&P 500 being below 2500 or 2400 for that matter?

In the here and now, since the end of 2018, the market is well in the positive with the S&P 500 being up 13% for the year. Are there ways to outperform the market? In other words, is there a way to yield better returns than the general market? Most will say no, and those who have adopted the efficient market hypothesis which says that you can not beat the market will all tend to agree with the above statement. Astute Strategist is here to show you that it can be done. Below you will see our holdings of each stock, and when we bought it, that is, date and price. Did every stock go up? Of course not. Are there ways to still yield a profit in sideways or down markets? You bet there is and Astute Strategist wants to show you how with our
Astute Millionaire class. Each week we go over having long stock and using options to hedge downside, all for less than a cup of coffee a day.

In last weeks blog, I wrote, “As for the market and the upcoming week, the trend is your friend and given the market has closed above the 2820 price level, the next level of resistance looks to be around the 2840-2850 level. It would not surprise me to see a pause in this uptrend and a test of support at the 2800 level before resuming”. The S&P 500 hit a high this past week of 2860 before closing the week right at the 2800 support level. Where now? It would appear the market could go either way from here after having elected a new week over week low, so penetrating 2800 support could be in the cards. The real important question is if we continue to see volatility (movements both up and down) how are you going to protect your hard earned monies? Nothing goes up forever.

Risk & Reward
Below is a snapshot of our portfolio. Note, our first long position was September 2017, the S&P 500 since then has yielded 13.13% while Astute Strategist yielded 20.44%. This is not included the shares we added, be apart of true wealth creation – click here. You worked hard for your money, it deserves it.