I looked through a bunch of individual stocks yesterday afternoon and I see no sign that the stock market is about to collapse right now. A lot of the stocks that went up the most last Monday on the big vaccine gap up day were stocks that had been lagging the market, many of them with big short positions. But, most of those that gapped up big and are now just sitting there. They did not gape and fade, but instead appear to be consolidating to move higher again before the end of the year.
That said, for investing I am still most interested in mining stocks and commodities, along with stocks outside the US. On Tuesday, the largest agriculture ETF in terms of market cap made a new high for the month again early in a stage two bull market. I like that sector and one stock I own in it is LyondellBasell Industries (NYSE: LYB), a Dutch chemical company. It is the third largest chemical producer inside the United States and its stock pays a dividend over 5%.
Take a look at the chart.
I also own a position in small cap gold exploration stock Great Thunder Gold (OTCMKTS: GTGFF). It trades on the Canadian stock exchange as GTG.
On Tuesday the stock did over 800,000 shares of volume on the US OTC and even more on the Canadian exchange in the past two days as you can see from this chart.
I made Great Thunder Gold my top stock pick of the month at the start of November . You can read the details about the company in my first post on it here. While gold is still consolidating some mining stocks are popping as some look for buys when gold is near its 150-day moving average.
Yesterday afternoon I spoke with Jim Goddard of www.howestreet.com.
Did we really have a bear market in the stock market this March or was it just a correction within a bull market? That’s a question I discussed with Jim Goddard of www.howestreet.com in this interview – among other things too.
-Mike
Disclosure: Mike Swanson owns shares of Great Thunder Gold. Because it is a small cap stock with a market cap of less than $100 million he has put himself on a trading blackout on the stock and will not buy or sell a share of it for at least 30-days from the date of this post (11/18/2020). Wallstreetwindow.com, is owned by Timingwallstreet, Inc., which was compensated by a third party (Leadgopher LLC DBA Pinnacle Ad Network) to conduct an investor awareness advertising and marketing campaign for Great Thunder Gold. This third party paid Timingwallstreet Inc., $18,000 to produce and disseminate this and other similar articles and send traffic to them through paid advertising online campaigns for 30 days beginning November, 2020. This compensation should be viewed as a major conflict with our ability to be unbiased, more specifically: This communication is for entertainment purposes only. Never invest purely based on our communication. For more on trading risks read our policy statement by clicking here.
