Although Running Alpha Capital Markets is very on Canada this fall, they are very on USA NASDAQ technology - ( dominant move coming out of widening consolidation should resolve to the upside in earnest and surprise many, especially starting by the end of the next couple to perhaps three weeks, if that -- with near term support below us also offering a buying opportunity near 4455 to 4443 to 4430; with 4590 serving as intermediate term resistance above, which I expect NASDAQ to push above and enter lift off this summer into fall ) and Financials ( especially regional banks as well as money center banks ), and into year end, as well as over the next 18 to 24 months -- same for India, but only extremely and expecting a persistent market meltdown in Copper and Canadian large caps, and NASDAQ Canada Index from here through this October period. The dominant path for USA relative to Canada should sharply and persistently diverge, so not changing my tune. Lower copper , energy, and higher currency and relative country index strength is actually a plus for the further migration and acceleration of capital into USA markets over this upcoming market cycle. So long USA and India from here and short / avoiding Canada should pay off nicely as an investment.
It is important to put things into context; we, as investors are in the business of picking persistent trends and pockets of opportunity from an investment basis, and as mentioned, I was technology after end of March and then again after end of June, and now each natural pullback within the market in the USA markets, which I have been on from bio-tech, life sciences, tech, and financials has been coming off from higher lows and fierce buying -- it should be no different from here -- before or near end of August, we should see the same action with progressive new and accelerating buying activity over next 18 to 24 months in USA markets. India as well. But the dominant trend from an investment basis is extremely bleak for Canada, so being on Copper and Canada does not change my USA-centric and India-centric thesis for where the greatest absolute and sharpest gains will be in the aforementioned cycle ahead of us -- and its magnitude/velocity should be epic.Also, coming out of the Canadian market panic this fall, Bio-techs, Financials, and tech in U.S. along with India and Hong Kong, and even mainland China should perform tremendously well as an intermediate to long-term investment.
Just be very careful in Canada, and don't trust any dead cat bounces in the near term -- they are simply the calm before the storm. There is no doubt in Running Alpha's analysis that Copper prices will fall off a cliff from here through October. 1.60 handle is downside tail-risk potential ( currently in the mid 2.30 handle ) -- Canada will get crushed as already mentioned - the vigorous and sudden nature of the expected move in Canada should be overlooked. An extra margin of safety can be found in USA financials, asset management providers, regional and money center banks, with diversification in USA electric utilities, and high growth technology in areas like business application software. This is not a solicitation to buy and/or sell securities of any type in the present and/or future -- the informational note is to serve strictly as a heads up of potential risk and opportunities based on the Running Alpha Capital Markets Intelligence Network.
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