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Investor sentiment about a company’s fundamentals can change much faster and with much greater magnitude than the actual fundamentals. Be among the first to learn about out-of-favor stocks with real value and that are poised for rebounds and growth. We recommend that investors consider 3 strategies to tailor their mix of stock holdings to more precisely match their tolerance for risk and uncertainty—get them in Cabot Turnaround Letter.

Last week I told you that we’d received a new buy signal from our intermediate-term market-timing indicator—but it didn’t last long. The market’s widespread selling on Wednesday and Thursday quickly turned it negative again.

So capital preservation is once again of primary importance—though the charts say the time is ripe for at least a modest bounce.

It is useful (if also humbling) to review how our prior year’s forecast turned out.

In this issue, we take a look back - and a look forward - as we assess our moves.

It has been a busy week in emerging and global markets.

The MSCI Emerging Markets ETF (EEM) remains in a negative position, just below 20-day and 50-day moving averages. Our portfolio has a 35% cash position and maintains 10% allocation to an ETF that moves opposite the EEM.