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Trump’s victory has given the S&P 600 SmallCap Index the jolt it needed to break out above this year’s overhead resistance at 1,465.

This is what it looks like on a daily chart going back about a year ...

The S&P 600 Small Cap Index rose modestly this week but not quite to the 1,340 level the index reached on June 11.

We’re seeing what could be an early pattern of higher highs and higher lows for the index, though for that trend to firm up we need to see the index get closer to its 200-day line (currently at 1,367) in the next week or two, and not fall below 1,284.

After notching an all-time high earlier in the week, the S&P 500 and its index peers came under intense selling pressure to close the week. By week’s end, the S&P 500 fell by 1.7%, while the Dow and Nasdaq both lost 2.5%.

After notching an all-time high earlier in the week, the S&P 500 and its index peers came under intense selling pressure to close the week. By week’s end, the S&P 500 fell by 1.7%, while the Dow and Nasdaq both lost 2.5%.

WFC stock has been hit hard in the wake of Wells Fargo’s alleged fraud scandal. But my options scanner tells me that’s about to change.

The S&P 500 and Explorer stocks are in an uptrend in November as investors bet that the Federal Reserve’s interest rate hikes are done for now and that inflation will moderate without a recession. In addition, with most S&P 500 companies having reported third-quarter results, more than 80% have beaten analyst expectations.

With the investing climate improving, today we add two new positions to the portfolio. Enjoy, and Happy Thanksgiving!

Today’s portfolio changes: Archer Daniels Midland (ADM) moves from Strong Buy to Buy, Boise Cascade (BCC) moves from Buy to Hold and Tesoro (TSO) moves from Hold to Buy.

Underperforming “loser stocks” are an inevitable part of investing, but they can still provide value to your portfolio, especially at year’s end.

Tariffs have officially arrived. And the market doesn’t like them one bit.

On Tuesday, the Trump administration imposed 25% tariffs on Mexico and Canada and raised the level from 10% to 20% on China. Stocks fell as of midday on Tuesday, but not dramatically. It’s unwelcome news to a market that was already dealing with still-sticky inflation and diminished economic growth expectations.

*Note: Your next issue of Cabot Top Ten Trader will arrive next Tuesday, September 2, due to the market holiday next Monday, September 1, in observance of Labor Day.

Ever since early July, the market has seen more and more bouts of rotation, and in the past two weeks, that action has accelerated, with more and more growth stocks getting hit while expectations for a Fed rate cut next month have goosed the broad market. So where do we stand overall? From a top-down perspective, the evidence has improved, but there’s also a lot of crosscurrents and leadership is in transition, which keeps things tricky. We’ll stick with our Market Monitor at a level 7 and see how things look after the coming long weekend.

This week’s list has a bunch of names from different groups, including many smaller titles, which goes hand in hand with what we’re seeing in the market. Our Top Pick had five (!) fakeouts in the past six months, this recent breakout look for real. Aim for modest dips and use a looser stop.

There are two IPOs to watch right now. But first, you need to know how to identify, trade and handle initial public offerings.

The unwinding of the Japanese carry trade halted the stock market rally in its tracks, but the bullish case for small caps may be even stronger going forward.