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“The most important investment you can make is in yourself.” – W.Buffet

Published By: J. Gomez
Date: 6th of August 2018
The bull is running through the market like on the streets of Pamplona. This week we saw the market soaring with major indexes finishing on a high during the weekend. S&P 500 SPX, +0.46% rose 0.5% to 2,840.35 went on a weekly winning spree to 5. Meanwhile Nasdaq Composite Index COMP, +0.12% added 0.1% to end at 7,812.01 and ending the week with 1% gain. The Dow Jones Industrial Average DJIA, +0.54% climbed 0.5% to 25,462.58, edging up 0.1% for the week.
Odds are if the bull market endurance records are good, we may need to brace ourselves for a rough ride ahead as heightened trade tensions, among other obstacles, increasingly overshadow what has largely been a strong earnings season in the coming days.
Here are 6 factors that the bull will use to navigate the market:

Read more on the: The raging bull in marketplace

1)Earnings: This 2nd quarter earnings have been steady, with S&P 500 companies reporting earnings growth of 24% and sales increase of 9.8%. This tremendous growth in corporate earnings is likely to continue in the second half of the year, giving the market a crucial boost.
2) Economy: The American economy is growing steadily with gross domestic product grew 4.1% rate in the second quarter.
3)Market breadth: Concerns about the market’s breath, indicates a direction and health of the market according to the number of gaining stocks versus decliners, has deteriorated recently. In July it was reported that Nasdaq Composite came with only 50% of the stocks in the index trading above their 50-day averages (down from 70% in June) and only 55% even trading above their 200-day averages (down from 60% in June).
(source)
4) Market valuations: S&P 500 trading at roughly 21 times trailing 12-month earnings. Considerably that is lower than the 23.5 times recorded in late January.
5)Trade conflict: The U.S and China trade war tariffs pose economical treats on both ends.
Read more on the: Trumps shoots and China fights back
6)Bull-market correction: A question about whether a correction and a bull market can coexist?
Consider a healthy economy have not only corrections but swift rotations in equities between growth/value, large cap/small cap and domestic/international. It is possible.