Navigator Algorithm Models – Fully Invested
As if 2020 could not possibly get stranger, the World Economic Forum (“WEM”) headquartered in Davos, Switzerland, tweeted a new video on the “Great Reset” yesterday. The video has already been deleted – as the WEM’s transparency wasn’t well-received. While the WEM claims no partisan leanings, there is no question that the forum leans left.
While leftist, the WEM is no fringe group. In the introduction to the featured video, Canadian Prime Minister Pierre Trudeau is prominently featured. President Trump and other US Presidents have both attended and spoken at the annual meeting, usually held in January. Naturally, President Trump’s 2020 speech to the group was not well-received. The next meeting has been postponed until May 2021.
You will be hearing more and more about the Great Reset in the coming days. In short, the Great Reset is the latest attempt to coerce the world into a single, authoritarian and communist government with control over every aspect of our lives. Two notable 2030 goals are outlined in the video. First, “you won’t own anything but you will be happy.” Second, the United States will no longer be the world’s leading superpower.
I could not possibly make this up, and I want to emphasize that this is not fringe stuff. This is mainstream leftism that may be forced upon us by our own leaders, as they surrender United States sovereignty for the “Greater Good.” I am beginning to wonder – did I awaken into an alternate universe from my three-day coma in July? Can I choose another level in the multiverse?
Meanwhile, back at the final frontier of capitalism, the US Stock Market, we experienced two, strong back-to-back sessions on Friday and Monday. I was pleased to see above-average volume supporting the climb yesterday. Breadth (participation) has been terrific. As just one example, the percentage of stocks above their 50 and 200-day lines rival records set the last few years.
We are due for some backing and filling today, so a pullback is in order. I am expecting the S&P 500 to hold the 3600 level and continue the climb to the topline of the megaphone channel.
The toughest decision for me will be when the S&P 500 reaches the megaphone topline. I would rather sell into strength to cap off the year. But let’s see how it goes. Meanwhile, our target (mental) stop remains the 5-day exponential moving average, which sits around 3587 and provides support so far this morning.
On a housekeeping note, I am taking the rest of the year easy. So my writings will be limited to once a week, significant events or signals.