Week 45-46 update

Thoughts on Trump Presidency

Trump won decisively. What does it mean for the markets?

First, let’s examine the market's signals. In the next quarter, I expect value and small caps to outperform growth and large caps.

The small caps monthly chart tells us something. A close above the trend line confirms a breakout. Consumer discretionary, too, pierced major resistance and reached ATH.

Small caps and value may outperform large caps and growth in the coming years.

I examine Trump's anticipated measures to evaluate which industries will benefit most. For that purpose, I created two charts that review economic and political expectations for his second term.