Here's why you shouldn't sweat a summer market decline.

Summertime livin' is about to get easy. [Logo]( Weekly Market Update Today is June 23, 2023 Dear Reader, Hello again and Happy Friday! And welcome (officially) to the summer of 2023. Bill Spencer Editor-In-Chief True Market Insiders Before I get to your summertime treat… I hope you got to watch Chris Rowe being interviewed on the floor of the New York Stock Exchange. They called Chris “a highly-respected sector analyst” and the founder of “the first FinTech investment research and media publisher for the age of A.I.” Awesome! [Click here to watch the whole thing](. As the song says, “It’s summertime, and the livin' is easy.” Given the stock market’s bullish advance since March, it’s hard to argue with that. What’s more, the livin’ could soon be even easier. I mean, the stock market has gotten short-term overbought, and when that happens, a pullback is more likely than not. That represents a great buying opportunity for us. And we could be seeing that pullback now. Here’s how the major averages have performed so far this week. For a while we were seeing the tech-heavy Nasdaq Composite outpacing the other averages. So I think it’s significant that this week’s decline in the Nasdaq almost perfectly matches the decline in the mega-cap S&P 500.   Chris Rowe’s Sector Focus A Wall Street insider reveals how a small “mom and pop” Indiana firm trading for just $3 is working with Washington D.C. insiders to bring America back to prominence… [Get the Full Story Before It’s Taken Down](   In the 1-year chart of SPY, below, the dotted red line shows how this week’s price action brought the index to a (possible) support level corresponding to the high made back on August 15, 2022. We see similar action on the price charts of the other major averages (or their proxy ETFs; SPY is our proxy for the S&P). Here’s the Dow… Unlike the S&P, the Dow poked above the August high before falling below it. Here’s the Nasdaq… Here, the price bounced off a resistance level first established at the February, 2022 high (the first red arrow). That high was tested in March and April of 2022 (the second red arrow), and when the price failed to breach it, the index swooned. IWM is our proxy for the small-cap Russell 2000… The two red arrows show a resistance level from November, 2022. The ETF was able to stay above that level in January and February of this year before breaking down (the red highlighted region). It challenged that level earlier this month, but failed to break above it. But here’s the thing… This week’s declines, in all of the averages, have come on light volume. (The two go together. Technical analysts treat price and volume the way meteorologists treat temperature and air pressure. If you’re not looking at both, at once, you’re not doing your job.) A light-volume decline suggests that we’re seeing short sellers covering, or we’re seeing profit-taking. The market is digesting its recent strong advance. It doesn’t suggest that the market is breaking down over the intermediate- or long-term. More importantly, it suggests we view any pullbacks as buying opportunities. In fact, right now we’re seeing a very “risk-on” market. Here is a view of our Sector Relative Strength Matrix. (It’s one of the premium tools that comes bundled with Sector Prophets Pro, our sector research and data platform.) The Matrix compares 45 sectors, each to each, and ranks them according to relative strength. Here are the top ten, along with their designation as either a “risk-on” (bullish) sector… Or a “risk-off” (bearish/defensive) sector. - Latin America: Risk-On - Aerospace Airlines: Risk-On - Pollution Control: Risk-Off - Buildings: Risk-Off - Financials: Risk-On - Internet: Risk-On - Machinery & Tools: Risk-On - Metals Non-Ferrous: Risk-On - Auto & Parts: Risk-On - Drugs: Risk-Off Seven of the top ten sectors are risk-on, as are two of the top four. Again, the takeaway here is (as Chris Rowe told participants in his live mentoring program yesterday), “If the market declines, you want to get in there and buy stock.” If you’re nervous about the market declining further, Chris has you covered there as well. On Tuesday, he showed [how to use Put options to protect yourself against a decline in a single stock](. And just yesterday, Costas Bocelli contributed a variation on that theme. He showed [how to use options to protect against an entire basket of stocks](. So even though the livin’ might be easy, you still want to stay safe.   Here's a Story I’ll Bet You Haven't heard. A small “mom and pop” Indiana firm (trading for just $3)... … is working with Washington D.C. insiders (of all people) to bring America back to prominence. It concerns a project so critical to American national security... … that it's actually [uniting both sides of the aisle](. In fact, Biden even issued an executive order to make this project happen! [<< Click here to get a stake in this adventure for just $3 >>](   As always, thank you for your time and attention. See you next week. Bill Spencer Editor-in-Chief, True Market Insiders   [How to Stay Safe In this Overbought Market]( [There’s a Landmine in the Market]( [This Market Prediction from Apple Suggests a Sharp Decline](   [YouTube]( [Facebook]( [Twitter]( [Instagram]( [LinkedIn]( DISCLAIMER ©2023 by True Market Insiders, LLC, Protected by copyright laws of the United States and international treaties. This Newsletter may only be used pursuant to the subscription agreement and any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), in whole or in part, is strictly prohibited without the express written permission of: True Market Insiders, 7901 4th St. N STE 6113 St. Petersburg, FL 33702. The information contained herein has been prepared without regard to any particular investor's investment objectives, financial situation, and needs. Accordingly, investors should not act on any recommendation (express or implied) or information in this material without obtaining specific advice from their financial advisors and should not rely on information herein as the primary basis for their investment decisions. True Market Insiders LLC is not an investment advisor and is not licensed to give specific financial advice. The chairman of True Market Insiders, Chris Rowe, is also the CEO, CIO and owner of Rowe Wealth Management LLC, which is not owned by and is not the owner of True Market Insiders.   [Unsubscribe]( | [Manage Your Preferences]( | [Privacy Policy](