Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Stocks

What A Week! This Small Cap Party Might Just Be Getting Started

by December 1, 2023
December 1, 2023
What A Week!  This Small Cap Party Might Just Be Getting Started

Last week, in my Weekly Market Report to EarningsBeats.com members, I pointed out the upcoming bullish history of the small cap Russell 2000 Index (IWM tracks this index). Most probably have no clue why small caps outperformed by such a wide margin this week. But history saw it coming all along. Here are the daily annualized returns on the Russell 2000 since 1987:

November 23: +63.10%November 24: +255.15%November 25: +78.57%November 26: +22.50%November 27: +28.95%November 28: +72.16%November 29: +38.77%November 30: +44.22%December 1: -39.02%December 2: +121.88%December 3: -26.06%December 4: +22.88%December 5: +157.14%December 6: +52.01%December 7: -34.93%December 8: +90.60%

There’s a lot of historical tailwinds at our back right now. It’s a clear seasonal indication that the IWM LOVES this time of year. Historically, the IWM’s best two calendar months are December and November, which have produced annualized returns of 25.08% and 17.46%, respectively, since 1987. Only three other months are even in double digits: April (+15.25%), May (+13.10%), and February (+12.89%).

So should we be shocked to see the following IWM chart:

It’s easy to see what’s happened thus far in November/December. And just think, December is typically stronger than November and it’s just getting started.

Looking at the IWM another way, this time from a technical perspective, also yields a very bullish December outcome:

I see a beautiful reverse head & shoulders bottoming pattern that executed today. Volume soared to accompany the price breakout above the neckline. Listen, none of this is surprising to me. I’ve been telling members since June 2022 that the longs were in a much better position than the shorts. It was time to STOP shorting in June 2022. The S&P 500 is now up 1000 points off the ultimate October 2022 low. The NASDAQ 100 has risen nearly 50% from the June 2022 bottom.

And you know what? We’re going higher. A lot higher.

To improve your own trading success, answer these two questions honestly:

(1) Do you know there’s a 12-consecutive day period of EVERY calendar month that has produced more than 80% of the S&P 500’s gains since 1950? In other words, a little more than 33% of all trading days have accounted for more than 80% of the market’s gains. Do you WANT to know what that period is? I would certainly hope so!

(2) Do you know the trading behavior of each calendar quarter? That knowledge recently led me to very profitable trades on both NVIDIA Corp (NVDA) and Tesla, Inc. (TSLA), 2 of 16 key stocks that I’ve done extensive historical trading analyses for. Want to improve your trading success with simple seasonal data? Why wouldn’t you?

I want to introduce you to “Bowley Trend: Long-Term Trends Since 1950”. It’s a 7-page PDF that I want you to immediately download and keep as yours. Consider it a “Thank You!” for following my work over the years. Learn the secrets that few traders know. Take one minute, CLICK THIS LINK, and download my FREE PDF that will change the way you look at the stock market forever!

Happy trading!

Tom

0
FacebookTwitterGoogle +Pinterest
previous post
Take the Time to Appreciate the Benefits of Free Trade
next post
Emerging Markets vs. U.S. Markets

You may also like

Three ETFs Showing Renewed Strength

April 1, 2023

Sensitive Sectors Are Holding the Keys to Unlock...

April 11, 2023

Secular Bull Market Continues, But With Major Rotation

November 9, 2024

How to Use the A-B-C Corrective Pattern to...

August 17, 2023

Soybeans Could be the Next Parabolic Runner

November 16, 2023

Using ADX to Trend Trade

December 8, 2022

MEM TV: Best Ways for You to Hedge...

September 16, 2023

2023 Q4 Earnings Analysis and Projections Through 2024...

April 11, 2024

Two Defensive Sectors are Outperforming – What Does...

October 25, 2023

Is the Correction Over? Or Are We Still...

March 26, 2025

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • National Wealth Fund commits £200m to UK battery storage push

      August 28, 2025
    • XRP price prediction hits new highs, GMO Miner helps you earn $6,800 a day

      August 28, 2025
    • West End retailers lose £310m from VAT-free shopping ban in first half of year

      August 28, 2025
    • Dollar slips as Trump moves to sack Fed governor Lisa Cook in unprecedented clash over central bank independence

      August 28, 2025
    • CDC Director Susan Monarez refuses to be fired as other officials call it quits

      August 28, 2025
    • Bill Gates met with Trump to talk ‘importance of US global health programs and health research’: spox

      August 28, 2025

    Categories

    • Business (8,901)
    • Investing (2,246)
    • Politics (16,503)
    • Stocks (3,228)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved