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Space and Rockets:

[URL unfurl="true"]https://www.stockmarkettv.com/strazza-letter/2024-11-14/space-stocks-are-mooning?utm_campaign=Daily+Chart+Report+%F0%9F%93%88+Friday%2C+November+15%2C+2024&utm_content=Daily+Chart+Report+Friday%2C+November+15%2C+2024&utm_medium=email_action&utm_source=email[/URL]

[ATTACH=full]188083[/ATTACH]

The Health Care Sector ($XLV) dropped -5.5% this week, marking its worst week in four years. It's now the weakest sector YTD (+5.2%) and the only negative sector QTD (-6.2%).
Donovan points out that $XLV is testing the 2022 highs, around $140. Relapsing into this multi-year range would be a major setback for the fourth-largest sector of the S&P 500.
The largest stocks in $XLV and their weightings are:
1.) $LLY - Eli Lilly & Co. (11.7%)
2.) $UNH - UnitedHealth Group (10.3%)
3.) $JNJ - Jonson & Johnson (6.9%)
4.) $ABBV - AbbVie Inc. (5.7%)
5.) $MRK - Merck & Co. ( 4.7%)
The Takeaway: The Health Care Sector ($XLV) is testing a critical level around $140 after retracing its entire breakout from earlier this year. Losing this level would be a major setback for the fourth-largest sector of the S&P 500.

[ATTACH=full]188086[/ATTACH][ATTACH=full]188085[/ATTACH][ATTACH=full]188084[/ATTACH]

All of that pales into nothing when this:

[ATTACH=full]188090[/ATTACH][ATTACH=full]188089[/ATTACH]

This is AUSTERITY.

Which can be a good thing or a very bad thing.

With a highly indebted government, austerity without restructuring the debt first is VERY BAD.

If 'they' restructure the debt first, then austerity will be ultimately a good thing.

So what does it look like if they cut spending before restructuring the debt?
It looks like this:

[ATTACH=full]188091[/ATTACH]

USD higher = everything else lower.

[ATTACH=full]188092[/ATTACH][ATTACH=full]188093[/ATTACH]

A rise in POO exacerbates that effect.

[ATTACH=full]188086[/ATTACH]

As I have previously stated, Trump is trying to play Reagan's game of the early 1980's. Conditions are radically different this time. The US NIIP = (-70%+). That cannot work if Trump tries to play Reagan's blueprint. Ignoring the NIIP for a moment, China et al can buy commodities in their own currencies. Massive change in circumstances, which has really significant implications for the US.

Trump needs a weaker USD. How weak? How about USD = 70. That is lower by 36. A 33% devaluation.

Markets could become really volatile into next year and the change in administrations unless the Biden administration or the Fed act to bring the USD down now.

jog on
duc

<blockquote data-quote="ducati916" data-source="post: 1304723" data-attributes="member: 2975">Space and Rockets:[URL unfurl=&quot;true&quot;]https://www.stockmarkettv.com/strazza-letter/2024-11-14/space-stocks-are-mooning?utm_campaign=Daily+Chart+Report+%F0%9F%93%88+Friday%2C+November+15%2C+2024&amp;utm_content=Daily+Chart+Report+Friday%2C+November+15%2C+2024&amp;utm_medium=email_action&amp;utm_source=email[/URL][ATTACH=full]188083[/ATTACH]
<table style='width: 100%'><tr><td>
<table style='width: 100%'><tr><td><table style='width: 100%'><tr><td>
<ul>
<li data-xf-list-type="ul">The Health Care Sector ($XLV) dropped -5.5% this week, marking its worst week in four years. It&#039;s now the weakest sector YTD (+5.2%) and the only negative sector QTD (-6.2%).</li>
<li data-xf-list-type="ul">Donovan points out that $XLV is testing the 2022 highs, around $140. Relapsing into this multi-year range would be a major setback for the fourth-largest sector of the S&amp;P 500. 
 </li>
<li data-xf-list-type="ul">The largest stocks in $XLV and their weightings are: 
1.) $LLY - Eli Lilly &amp; Co. (11.7%) 
2.) $UNH - UnitedHealth Group (10.3%) 
3.) $JNJ - Jonson &amp; Johnson (6.9%) 
4.) $ABBV - AbbVie Inc. (5.7%) 
5.) $MRK - Merck &amp; Co. ( 4.7%)</li>
</ul>
The Takeaway: The Health Care Sector ($XLV) is testing a critical level around $140 after retracing its entire breakout from earlier this year. Losing this level would be a major setback for the fourth-largest sector of the S&amp;P 500.</td></tr></table></td></tr></table></td></tr></table>
<table style='width: 100%'><tr><td>
<table style='width: 100%'><tr><td><table style='width: 100%'><tr><td></td></tr></table></td></tr></table></td></tr></table>[ATTACH=full]188086[/ATTACH][ATTACH=full]188085[/ATTACH][ATTACH=full]188084[/ATTACH]All of that pales into nothing when this:[ATTACH=full]188090[/ATTACH][ATTACH=full]188089[/ATTACH]This is AUSTERITY.Which can be a good thing or a very bad thing.With a highly indebted government, austerity without restructuring the debt first is VERY BAD.If &#039;they&#039; restructure the debt first, then austerity will be ultimately a good thing.So what does it look like if they cut spending before restructuring the debt?It looks like this:[ATTACH=full]188091[/ATTACH]USD higher = everything else lower.[ATTACH=full]188092[/ATTACH][ATTACH=full]188093[/ATTACH]A rise in POO exacerbates that effect.[ATTACH=full]188086[/ATTACH]As I have previously stated, Trump is trying to play Reagan&#039;s game of the early 1980&#039;s. Conditions are radically different this time. The US NIIP = (-70%+). That cannot work if Trump tries to play Reagan&#039;s blueprint. Ignoring the NIIP for a moment, China et al can buy commodities in their own currencies. Massive change in circumstances, which has really significant implications for the US.Trump needs a weaker USD. How weak? How about USD = 70. That is lower by 36. A 33% devaluation.Markets could become really volatile into next year and the change in administrations unless the Biden administration or the Fed act to bring the USD down now.jog onduc</blockquote>

[QUOTE="ducati916, post: 1304723, member: 2975"] Space and Rockets: [URL unfurl="true"]https://www.stockmarkettv.com/strazza-letter/2024-11-14/space-stocks-are-mooning?utm_campaign=Daily+Chart+Report+%F0%9F%93%88+Friday%2C+November+15%2C+2024&utm_content=Daily+Chart+Report+Friday%2C+November+15%2C+2024&utm_medium=email_action&utm_source=email[/URL] [ATTACH type="full" alt="Screen Shot 2024-11-17 at 6.44.45 AM.png"]188083[/ATTACH] [CENTER][/CENTER] [TABLE] [TR] [TD][CENTER][/CENTER] [TABLE] [TR] [TD][TABLE] [TR] [TD][LIST] [*][B]The Health Care Sector ($XLV)[/B] dropped [B]-5.5%[/B] this week, marking its worst week in four years. It's now the weakest sector YTD (+5.2%) and the only negative sector QTD (-6.2%). [*]Donovan points out that $XLV is testing the 2022 highs, around [B]$140[/B]. Relapsing into this multi-year range would be a major setback for the fourth-largest sector of the S&P 500. [*]The largest stocks in $XLV and their weightings are: 1.) [B]$LLY [/B]- Eli Lilly & Co. (11.7%) 2.) [B]$UNH [/B]- UnitedHealth Group (10.3%) 3.) [B]$JNJ[/B] - Jonson & Johnson (6.9%) 4.) [B]$ABBV[/B] - AbbVie Inc. (5.7%) 5.) [B]$MRK[/B] - Merck & Co. ( 4.7%) [/LIST] [B]The Takeaway: [/B]The Health Care Sector ($XLV) is testing a critical level around $140 after retracing its entire breakout from earlier this year. Losing this level would be a major setback for the fourth-largest sector of the S&P 500.[/TD] [/TR] [/TABLE][/TD] [/TR] [/TABLE] [/TD] [/TR] [/TABLE] [CENTER][/CENTER] [TABLE] [TR] [TD][CENTER][/CENTER] [TABLE] [TR] [TD][TABLE] [TR] [TD][/TD] [/TR] [/TABLE][/TD] [/TR] [/TABLE] [/TD] [/TR] [/TABLE] [ATTACH type="full" alt="Screen Shot 2024-11-17 at 6.41.33 AM.png"]188086[/ATTACH][ATTACH type="full" alt="Screen Shot 2024-11-17 at 6.42.17 AM.png"]188085[/ATTACH][ATTACH type="full" alt="Screen Shot 2024-11-17 at 6.44.09 AM.png"]188084[/ATTACH] All of that pales into nothing when this: [ATTACH type="full" alt="Screen Shot 2024-11-17 at 6.51.47 AM.png"]188090[/ATTACH][ATTACH type="full" alt="Screen Shot 2024-11-17 at 6.52.05 AM.png"]188089[/ATTACH] This is AUSTERITY. Which can be a good thing or a very bad thing. With a highly indebted government, austerity without restructuring the debt first is VERY BAD. If 'they' restructure the debt first, then austerity will be ultimately a good thing. So what does it look like if they cut spending before restructuring the debt? It looks like this: [ATTACH type="full" alt="Screen Shot 2024-11-17 at 6.57.18 AM.png"]188091[/ATTACH] USD higher = everything else lower. [ATTACH type="full" alt="Screen Shot 2024-11-17 at 7.01.28 AM.png"]188092[/ATTACH][ATTACH type="full" alt="Screen Shot 2024-11-17 at 7.00.10 AM.png"]188093[/ATTACH] A rise in POO exacerbates that effect. [ATTACH type="full" alt="Screen Shot 2024-11-17 at 6.41.33 AM.png"]188086[/ATTACH] As I have previously stated, Trump is trying to play Reagan's game of the early 1980's. Conditions are radically different this time. The US NIIP = (-70%+). That cannot work if Trump tries to play Reagan's blueprint. Ignoring the NIIP for a moment, China et al can buy commodities in their own currencies. Massive change in circumstances, which has really significant implications for the US. Trump needs a weaker USD. How weak? How about USD = 70. That is lower by 36. A 33% devaluation. Markets could become really volatile into next year and the change in administrations unless the Biden administration or the Fed act to bring the USD down now. jog on duc [/QUOTE]

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