Weekly Update: A Big Week for Stocks
This week was a big one for stocks. After the CPI report showed that inflation was cooling faster than expected, the indexes took off and posted their best day in two years.
The S&P 500 climbed 5.9% for the week, and the Nasdaq surged 8.84%.

While these numbers are impressive, I am not yet convinced the bear market is over.
The biggest one-day gains in the market almost always come in the middle of bear markets. Stocks simply do not surge in the same manner under bull market conditions.
During the bear market of 2008, the S&P 500 climbed over 4% in a day 14 different times. The index did not bottom until March 2009.
It is important to not get carried away and change one’s view on the market based on any one candle.
The Nasdaq Composite index rallied 25% off its lows from June to August before rolling over and making yet another new multi-year low.
The Big Picture
Big picture, we are still trading beneath a declining 200-day moving average and stocks are not progressing in a healthy way.
At a true bottom, we should see new leadership emerging. A new investment “theme” containing specific groups of stocks should be rallying into new highs and leading the market higher.
So far, we have not seen that.
Solar and biotechs have been the standouts so far, but only a handful of the solar names I was watching a few months ago still look healthy.
Thursday’s bounce was largely made up of what I consider “trash” stocks bouncing off the bottom.
It felt more like a short-covering rally to me as the biggest winners were beaten-down names with heavy short interest.
For the time being, I remain focused on the short side, and I am unlikely to change that view until we see real progress.
Will I buy the absolute low? No.
But I don’t want to get suckered into yet another bear market rally only to watch it fizzle on a single piece of bad news like we have seen recently.
Stealth Trades Watchlist
Click here to view this week’s full Watchlist!
But remember that not all of the stocks on our Watchlist are actionable…
When it’s time to make an official recommendation for our Trade Tracker, I’ll let you know on our Alerts page right here!
Join the “Powerhouse Trio” Next Week!
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Josh Martinez, and Anthony Speciale and I – the trading world’s “powerhouse trio”…
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Live Coaching Session
I hope you’ll join me on Monday, Nov. 14, for our next live Stealth Trades session at 3:00 p.m. ET…
We’ll cover all of our new stocks on the Watchlist as well as the rest of the stocks inside Stealth Trades.
You need to attend this session to get the most from your subscription!
In the meantime, you can watch the replay of our latest Stealth Trades session right here.
Best wishes for your trading,
Ross Givens
Editor, Stealth Trades
P.S. Click here to learn more about my Insider Effect strategy and see what you could be missing out on.
















