For Fundamental Traders, Fundamentals Matter!

Jordan Kimmel  |

Despite being a big believer in fundamentals, I also believe that emotions rule the markets over the short term. While a trader needs to mostly concern themselves with charts, an investor needs to be more focused on value.

From S&P we get a few interesting tidbits – they are basically reminding us that the market is trading only 11 times earnings (cheap!!) and that 12 months later after the S&P drops as much as it just did- 77% of the time the market is higher- on average by over 18%! They also are not saying the bottom is in yet, but you don't have to be perfect.

James Stack from InvestTech is reminding us that the Conference Board’s Leading Economic Index is hitting a high! He also reminds us that periods of high emotional trading, like right now, usually make bottoms- not tops.

I am neither Bullish nor Bearish. I just like giving myself a chance by investing in the top ranked individual GEMS stocks, especially when they also looks ripe to advance according to my charts.

When the markets look the scariest, I like to see which of the top ranked stocks held up. If I see them curl up from an oversold position, I can’t help but to take my shot. I may get stopped out too often, but I’d prefer to do that rather than watching my best ideas leave me in the dust.

*DISCLOSURE: No positions

This material is being provided to you for educational purposes only. No information presented constitutes a recommendation by T3 LIVE or its affiliates to buy, sell or hold any security, financial product or instrument discussed therein or to engage in any specific investment strategy. The content neither is, nor should be construed as, an offer, or a solicitation of an offer, to buy, sell, or hold any securities. You are fully responsible for any investment decisions you make. Such decisions should be based solely on your evaluation of your financial circumstances, investment objectives, risk tolerance and liquidity needs. Visit the T3Live Homepage, Virtual Trading Floor, and Learn More About Us.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not necessarily represent the views of Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to:

Market Movers

Sponsored Financial Content