Obsidian Market Update 6/3/2022
It’s June! We can’t believe it. The end of the school year, the official start of summer–there’s so much to be excited about.
We have researched some interesting data that shows advancing stocks are much higher than average lately. We hope that’s as good a sign as it appears to be! Nasdaq Dorsey Wright, an investment advisory firm that has built a research platform many firms use to help make data-driven and technical supply & demand decisions, conducted an analysis of the S&P and NYSE. They looked at what percentage of stocks moved up out of all the stocks that moved, and found that it was 82.45% of stocks from Wednesday through Friday of last week–a rare occurrence that has only happened 12 other times. Based on those calculations and the history of stock movement going back to 1965, they concluded the odds are stacked in favor of higher future returns going forward. Analysts use technical analysis- such as charts- to determine the flow of these stocks which are driven by supply and demand. There is no guarantee, of course, but their analysis leaves room for optimism. On the other hand, there are still fundamental reasons for concern regarding the economy, so we continue to monitor everything very closely.
In other news, the European Union has decided to cut off 90% of Russian oil by the end of the year. Because Europe is the biggest importer of Russian oil, it will also impede the Russian war machine and with any luck, end the Ukraine invasion and prevent the invasions of other countries in the region. European fuel prices have surged, and they are looking for alternatives to help curb that price increase. Given that inflation is already affecting much of the world, rising fuel prices will likely impact individuals. We’ll keep you posted as the situation progresses.
Now onto the fun stuff: getting outside. It’s the time of year for vacations with friends and family, so if you’re lucky enough to get to take a trip to somewhere with mountains, you’ll be delighted to learn of some of the health benefits of hiking:
- It’s great low-impact cardio, which is ideal for heart health. You don’t need steep inclines to achieve these benefits–just keep walking!
- Your muscles and bones benefit from hiking, and given that bone density loss is a concern for a lot of us, you’ll have even more fun knowing that you’re keeping your skeleton strong while seeing beautiful views.
- You’ll sleep better, especially if the hike is challenging. It also helps if it takes some mental fortitude like reading maps and navigating trails. If a good night’s sleep is hard to come by, there’s some motivation to get out there and push yourself a little.
If you do go hiking this summer, don’t forget to send us pictures! We’d love to see them.
That’s it for us this week. Have a great start to June, and we’ll be back in your inboxes next Friday.
How We Help:
“Cash flow” sounds simple but comes with many questions, like: when do I start social security? How much money should I draw and where should I draw it from? Should I have taxable or non-taxable accounts? How do I design my withdrawals so I can keep my medicare premiums as low as possible?
We always point out that the most important thing about long-term cash flow is not what you earn or what you have; the most critical factor is what you’re spending on a monthly basis and being able to make small adjustments on monthly spending that can have an effect on your long-term success.
To help you with this, we look at your goals, gather updated information, and give guidance on the numbers at hand. Then, we update the cash flow section in the Lifestyle Protector Process, present the information to you so that you can use it to make decisions and adjustments. That’s the idea behind the Lifestyle Protection Plan: to give you the information that empowers you to make decisions for long-term peace of mind. If this sounds like guidance you can use, give us a call.
Advisory Services offered through Obsidian Personal Planning Solutions, LLC. Securities are offered through Triad Advisors, member FINRA/SIPC. Obsidian Personal Planning Solutions, LLC, and Obsidian Personal Planning Solutions, Inc, are not affiliated with Triad Advisors.