t’s been two months since the market began its correction, but now we’re finally starting to see signs that a turn could be imminent -- leading stocks are moving higher, the number of new lows have dried up in a major way, and our trend-following indicators have improved ... but for now, both are still negative. Right now, then, we’re still advising caution and defense. But we also advise you to put your shopping list together. In fact, we’re switching one of our Model Portfolio stocks back to buy in this Letter, and with some further market strength, we can put some of our cash to work in the days to come. However, any new buys will be strong, resilient stocks; we’ll be avoiding “bargain” stocks, a topic we discuss on page 5. We also name a few stocks to watch on page 4, and present all our latest thoughts and news on our Model Portfolio holdings on pages 2 and 3. The next few days could bring a buy signal, so be sure to stay tuned, and be sure to read tonight’s Letter to get ready in case the green light flashes.
