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Well today was a good day in the stock market the indexes perform very strong today and a lot of stocks made massive moves upward so we’re gonna go through all that here today okay but that’s not the biggest part of what this videos gonna be dedicated toward today’s video is going to be dedicated toward two different things the first is i want to explain to you

Guys why the stock market should be up much much much more than where it is currently okay we’re gonna go through a lot of different charts i’m explaining a lot of things to you guys on why i believe the stock market should be up massively more than where it is i’m talking about the dow the s&p the nasdaq everything across the board these indexes in my opinion

Should be up much higher and the next part of the video will talk about the two things that need to happen in order for us to have a massive bull market going into the rest of 2018 and into 2019 there are two things that need to happen so i hope you guys really enjoy this day hit a thumbs up if you enjoy this and by the way if you have not gotten in tickets yet to

My building wealth conference going down in just over two months from now it’s a full day with graham stefan and myself we’re talking stock market investing real estate investing in personal branding i’m gonna spend about two hours on that so anybody that wants to build a personal brand that’s gonna be another huge chunk to why you want to come to that conference

So first link down there in the description i hope to see as many of you guys there as possible alright guys so let’s get into so first off the stock market today very strong date that was up over 250 points smp 500 a decent day nasdaq was up about a percent but that doesn’t tell the whole story because there were a lot of stocks that perform much much much stronger

Than that okay so if we look at just the stocks i own here today in terms of red ones we only had told brothers which was slightly red today in tesla which was slightly red but a lot of stocks performed very strong cruzi doozie up over four-and-a-half percent today bob was starting to bounce back that one was up over two percent today after a strong day yesterday

Facebook’s starting to bounce back that one was up 1.8% today skyworks solutions was up over 3% today a lot of stocks perform much stronger than where the indexes actually performed today index do you say what was a decent day a little under 1% performer but a lot of stocks made 3 4 5 % moves today that you know kind of needed that alright now if we look here if

We look at the indexes here today it looks like it’s a decent year keep in mind the stock market on average only goes up around 8% roughly per year on average okay but if we look here the dow is up nearly 8% year today so you see that’s good it’s not good okay the s&p 500 is up over nine and a half percent so far year-to-date okay so if you’re looking at the

Dow and the s&p you’re gonna look at that and you say that’s not a bad performance like they’re doing decent okay but trust me i’m gonna take you through a whole bunch of different things today we’re gonna look at on why these indexes should be a much much more the only one that has performed in my opinion where it should have performed so far this year is

It nasdaq the nasdaq is up over 16% year-to-date a lot of that is honestly on the back of apple and honestly on the back of amazon okay aaa double-a there’s honestly a lot of it i was on the back of those two companies yeah you know facebook has kind of helped things down a little bit you know it hasn’t had a good year facebook this year microsoft’s had a pretty

Decent year and that’s definitely helped up indexes and google’s had a decent year and that’s helped out the indexes in terms of the nasdaq and whatnot but trust me these indexes are not up nearly as much as they should be all right the first thing i want to take you through is us corporate profit trends if you look at this graph you’re gonna see a massive increase

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Here in 2018 all right a massive increase if you look at 2016 2017 very slight growth and then also we get into 2018 now and you see explosive growth in us corporate profits okay a massive massive increase and it’s just getting stronger and stronger as we go throughout the year here okay now there are a couple reasons for this okay the first reason is us corporate

Tax cuts you have helped a massive amount in terms of boosting up profits so that’s definitely helped there’s no doubt about it well on top of that you have a lot of companies whose businesses are just very very strong because overall economy strong and there’s as knocking numbers out of the ballpark and they have economies of scale and a lot of things like that

Okay so when you have all these different trends it’s pushing up us profits in a massive way some of the biggest we’ve seen in a long long time in terms of corporate profit increases all right so that’s a very very good thing with some of the strongest growth we’ve seen a long time there okay next part i want to point out here is we have seen an 80 percent beat

Rate by sp 500 companies in the glass quarter somewhere around there around 80 percent of companies have beat so basically meaning four out of every five companies that report numbers report better numbers than analysts expected okay so that means only one of the very five companies either missed earnings or just was in line they just met earnings okay that is a

Phenomenal beat rate we’re talking about four out of five companies are literally doing better than what analysts had expected that is a really strong statement for the stock market overall okay you have us corporate profits exploding you have a massive amount of companies beating earnings alright and then on top of that we see around a 24% increase year-over-year

In profits by companies this is a massive massive increase there guys and we’ll keep in mind there are a lot of companies that are still spending on money on a lot of things and are hiring a lot of employees to build out factories and do a lot of things you can think about a lot of the growing companies that are in the nasdaq they’re spending a lot of money a lot

Of places in ramping up and ramping up employees it’s not like it’s it’s time where all the companies out there saying let’s cut back let’s cut back on employee cost a lot of them are spending aggressively on new things ok that’s something to keep in mind there all right now if we look at some overall us economy statistics here all right something i’d love to look

At is the gdp growth rate we’re gonna notice we have a much stronger us gdp growth recently than we’ve had in a long long time the latest trend came in around four point two percent and they’re talking about we could push up close to a five percent number possibly in the back half of this year we’ll have to see if it happens but needless to say when you have gdp

Growth like that that means you have a very strong economy we haven’t had a four plus percent number since honestly about 2014 it’s been quite a while so i’ll send you push up against a four plus percent number and you can see you know with corporate tax cuts coming in the way they have and in that type of gdp growth you’re gonna have an overall great environment

For companies to report earnings profits and all those types of things next up here i want to at the unemployment rate we’re at the lowest unemployment rate we have had in a long long time in this country okay united states of america under a four percent number right now now the world will dive into this one just a bit okay there’s a positive and negative of that

And then we’ll get into the two things that need to happen in order for the stock market to explode throughout the rest of 2018 going into 2019 there are two ways you can look at a low unemployment rate the negative side of a low unemployment rate is we can say you know wages are gonna increase you have hardly any employees companies have to really start competing

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For employees because basically what happens is it when you have a recession coming out of recession there are a lot of employees looking for a lot of jobs they dauer know position of power and you the corporation can basically dictate whatever wage you want to pay them and it’s very easy and it’s like okay you don’t want to you don’t want to have this job we’ll

Hire this other the other person over here because there are a lot of people hurt and a lot of people looking for jobs however when you’re in a very very strong economic growth environment like we are right now in the united states you have a situation sometimes where honestly the the employees the regular folks out there become in the position of power because

There are so many companies that want them okay well they’re it’s ridiculous how many jobs are available out there that are actually unfilled right now that companies would love to hire for so which sometimes you have happened is wages begin to start going up and up and up they don’t go up massively overnight but they do start to increase so you say well wages are

Increasing for a lot of companies that hurt some of their profit trends but at the same time when you have huge tax cuts coming on your back and you have an overall stronger economy which means a lot more people are gonna spend a lot more money out there it’s an overall good trend in the end okay so that’s kind of my view there now i want to get into the two things

That need to happen in order for us to have a great back half of 2018 for the stock market and going into 2019 the first is all of you know the trade war needs to calm down okay the trade war needs to calm down it’s not necessarily that it needs to end it just needs to the language use the the you know fighting and you know just it’s just intense battle okay if we

Can just calm down and simmer down and we can see some more negotiations happen more in the background then you know twitter and you know the chinese government making announcements out to the media and it gets all over the us markets and whatnot if we can have some more closed-door meetings between these two governments and it goes more professional and put it

That way we’re gonna see that that all some did this whole worry that has made that main worry that’s going over the stock market right now will start to slip away okay it this is the main thing that is honestly in my opinion kept the stock market from exploding i think a lot of the indexes would be up 20 plus percent so far this year you know currently 20 plus

Percent every single index if it was not for the trade warrior in the tough talk and all those type of things out there i think that’s just freaked a lot of people out it’s made a lot of people think min is china go and go into a massive recession or something what would that do for the credit markets you know it’s scared a lot of people and a lot of people just

Worried it could you know boil over in the us and so in the us it’s just a lot of worry out there there might not be anything concrete but it’s a lot of worry for investors out there mutual fund managers hedge fund managers high net worth individuals that say man i don’t know until this is cleared up i’m a little scared right now okay because we know china has been

Probably the biggest growth engine for old overall global economy for the last decade all right and so you have the us economy is very strong right now a lot of people look at it and they’re like okay if china’s economy goes down where is that gonna send the us economy so if we could just simmer down if we could just calm down a bit okay take a breather there and

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Maybe get some deals worked out all right and you know everything can be copacetic and not everybody’s gonna be happy okay not ever the u.s. probably is not gonna be happy with it you know certain deals i do the china is not gonna be happy you know everybody wants a position of power everybody wants to win in the end but if we could just get things to calm down a

Bit guys this is a massive massive thing in the psychology of investors out there so this is the first trend okay the second thing we need to have happen in the back half of 2018 going into 2019 is a profit trend needs to keep going okay what we’re gonna have happen here in the back half of the year is we’re gonna have a lot of companies who begin to start doing

Their forecasting for where they expect profit growth and revenue growth to go into 2019 okay that always happens you know toward the end of 2018 what we need to see is we need see strong numbers okay we don’t necessarily need to see as strong a numbers as you know 2017 going into 2018 but we still need to see a lot of strong numbers so that the profit trend is not

Going to end okay and if we could get company saying that on average they expect at least profits go up seven and eight percent next year we’re gonna be looking at a very very positive thing out there a big big catalyst for a firm you know companies however a profit trends are are only very slightly up one to three percent numbers for a lot of big companies then

We’re gonna see a lot of investors say whoa whoa whoa that’s really slow growth there may be i don’t even want to invest in the stock or the stock market in general and then you have the risks with the trade war okay so if we could just clear up those two things and if there could just be a calming of the trade war okay a calming of the trade war and if we can see

Companies say that they’re gonna have pretty good profit trends going through out the back half this year we’re gonna be in a very strong position of power going into the rest of 2018 and 2019 and we can see the stock market perform where it should have been you know performing all this year we should be up twenty plus percent guys this is the probably this is the

Strongest year i’ve ever seen since i’ve been in the stock market in terms of company profits in terms of the overall us economy this is a strongest year okay you can make an argument that 2010 coming out of the recession was a strong year cuz company you know profits went up a ton but you’re coming off of recession base where all companies were in the dumpers in

2009 and they start to come out in 2010 and numbers look decent but they’re still you know we’re garbage compared to today this is a strongest year i’ve ever seen since i’ve been the stock market in terms of company profits in terms of overall us economy okay the the market should be massively they should be reflecting this in they’re not as of right now but if we

Can get those two things cleared up guys it’s gonna be it’s gonna be a fun back half of this year so anyways i hope you guys really enjoyed this as always let me know what your opinion is down there in that comment section i would love to hear from you guys as always don’t forget if you want to come to my building wealth conference full day with myself and graham

Steffen it’s the first link down there in the description i hope to see as many you guys there as possible it’s going down in just over two months from now out here in beautiful las vegas thank you for watching and have a great

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