Growth and Mega-cap growth stocks have been in dominant relative strength and price trends for the prior 13 years. Do growth stocks lead the market at all times or do other segments of the market also have periods of secular leadership? Is there a prior case where growth takes a performance backseat to other stock themes? In this episode of Power Charting this question is explored. Using the relative strength relationship of the Dow Jones Industrial Average (as a proxy for Blue Chip and value themes) to the NASDAQ 100 (large capitalization growth) the 1990s and the current periods are compared. Using Wyckoff Method techniques of trend, Accumulation, Distribution and Point & Figure analysis comparisons are made and conclusions are drawn. The recent decline in NFLX is also studied on a Wyckoffian basis as an example of an important ‘FANG’ stock. Then an update on the Point and Figure study of the new C.P.I. data.
John Colucci (Johni Scan) joins the program for a segment on Wyckoff style stock selection. Using the ‘Wyckoff Market Report’ and his scanning methods Spring and Breakout candidates are unearthed and discussed. See the Overtime segment for additional stock analysis.
For more information on the ‘Wyckoff Market Report’ :