With our models in a positive mode, we continue to advise a continually invested position along the lines of our Real Money accounts. We remain steadfast in the bullish camp, asserts Dan Sullivan, technical analyst and editor of The Chartist.
However, we should point out that not all segments of the market are in gear. One of our favorite indices is the unweighted Value Line Geometric that tracks over 1600 stocks. We feel it gives a better indication of how the overall market is performing versus the heavily weighted indices.
It frequently tops out ahead of the S&P 500 and Dow at pivotal turning points. Currently, it is less than 2% away from record high territory. However, it has only gained 1.6% since the middle of March encompassing the last 169 trading sessions, while over the same time frame, the S&P 500 and Nasdaq are ahead 15%.
While the Russell 2000, also within striking distance of record highs, has made zero progress over the same time frame. It would be highly constructive to see these two key indices that represent the market’s lower tier take out their former highs with authority in the not too distant future.
Datadog Inc. (DDOG) provides monitoring and analytics platform for developers, information technology (IT) operations teams and business users in the cloud age.
Its Software-as-a-Service (SaaS) platform integrates and automates infrastructure monitoring, application performance monitoring and log management to provide real-time observability of its customers’ entire technology stack.
Datadog is used by organizations of all sizes and across a range of industries to enable digital transformation and cloud migration, drive collaboration among development, operations and business teams, understand user behavior and track key business metrics.
Zscaler Inc. (ZS) is focused on providing a cloud security platform that is designed on a zero-trust architecture. The company’s architecture is designed to allow users and devices to safely access authorized applications and services in the cloud using the Internet as the preferred connectivity medium.
Zscaler’s security and user experience solutions are purpose-built on a multi-tenant, distributed cloud exchange that secures access for users and devices to applications and services, regardless of location. Posted fourth quarter earnings of 14 cents per share, beating estimates of 9 cents per share and well above 5 cents a year ago.