Investor's Edge with Gary Kaltbaum - The week in review [05.23.2025 w. Adam Sarhan]

Episode Date: May 23, 2025

https://garykaltbaum.com/

Indeed, sponsor jobs gets you quality candidates when you need them most. Spend less time searching and more time actually interviewing candidates who check all your boxes. Less stress, less time, more results. When you need the right person to cut through the chaos, this is a job for Indeed sponsored jobs. And listeners of this show will get a $75 sponsor job credit to help get your job the premium status it deserves at Indeed.com slash podcast. Terms and conditions apply. Need to hire? This is a job for indeed sponsored jobs.

Investor's Edge with Gary Cultbaum. Straight talk about you and your money. Now from the BizTalk Studios, here is Gary CultBomb. And welcome once again to Investors Edge. I'm Adam Sarhan, in for Gary Kay, who's out today. Today is Friday, May 23rd, 2025, and we've got a great show for you tonight. As always, I want to thank you very much for being here. Just some housekeeping before we dive into the show.

If you don't get the show in your city, you can go to GaryK.com, listen live or archive. We are live Monday through Friday, 6 to 7 p.m. Eastern. Also on GaryK.com, you can subscribe to Gary's morning notes sent directly to your inbox. You can ask him about his money management services, follow him on X, formerly known as Twitter. Or you can subscribe to his premium service, which is convictionleaders.com. That's convictionleaders with an S.com. And he shares updates several times a day, actionable ideas. is webcast, daily webcast, weekend webcasts, and a whole lot more.

This is way you can actually see what Gary's saying. Because on the radio, you can hear him over here on this planet, on the podcast slash radio show. But when you have webcast, you can actually see the charts and see them go through them and all that, annotate them, and all that fun stuff. Anyway, all that's available at convictionleaders.com. All right, few things for us to note. This is the weekend review. It's a Friday, so it's one of my favorite times to do the show because I do most of my work on the weekends when the markets are closed. I love looking back at the past week.

I love looking forward at the next week and really zoom out. Look at the monthly charts. Look at zoom out. Just bigger picture. Where are we? You know? So for today, we're about 6% below an all-time high in the S&DQ, sorry, in the NASDAQ-100, which is a QQ, which 5.8%.

And the S&P 500, the SPY, is about 5.6% below an all-time high. The Dow is 7.8% below. So it's all-time high and 52-week-high. And something important to note, too, is support, which is the 200-day moving average, which I'll get into a little bit later. And then you look down to smaller mid-cap stocks and smaller-cap stocks. The S&P-400, which are the mid-cap stocks, tickers or the ETF is M-D-Y, is 12.7% or about 13% below its 52-week high and all-time high. The Russell 2000 is weaker, down 17.3% below its 52 week high and all-time high. So what's happening here, we're actually 52-week-eye.

So, yeah, for the Russell, it's a 52-week-eye. So what's happening here, folks, is that you've got a market that had a huge, a lot of volatility this year. You had January, February, the market rallied. You hit a wall late February into March, early April. You fell really hard. You fell about 20% in the S&P, 20 and change in the NASDAQ 100, almost 30% in the small cap Russell 2000, the IWM, and mid-20s in the mid-caps, the MDY. And then early April, Trump did a reverse course and switched his tariffs and basically gave a kick the can down the roads of 90-day extension and then, okay, we're going to lower tariffs on this and that and the other thing. And the market had, the NASDAQ had the biggest update ever, which was on the 9th of April.

And I think it was the third biggest or second biggest for the S&P. Anyway, just a rip-roaring massive rally. And then you went sideways for a few weeks towards the middle of April. People were trying to figure out what's coming next. By the middle, really the end of April, the last week of April, the 21st, 22nd in that time frame, it became clear that there's going to be a pivot or the tariff scenario is not going to be the end of the world. Cripling the economy, global recession, depression, you know, that people had feared lots of times. in the market or just any in life, people have a knee-jerk reaction. Something happens and then they

overreact. And you see that in children, you see that in adults, you see that all over the place, in the market, out of the market, all over the place. And what happens is when you get that overreaction, like what happened from late February into early April, really it was a lot of emotions that had taken over. And you know, my whole thing with investing is, well, I got lots of things, but one of my things is teach people how to make rational, not emotional decisions with their money. It's all point in my book, psychological analysis. So it's my contribution to Wall Street, right? So the idea there is that fundamental and technical analysis, my opinion, are great, but they're not enough to beat the market if they were. Everybody would own a few islands in the Caribbean.

So there's something missing, which is mastering thyself, which is the psychology or the psychological analysis. And in short, in one sentence, it teaches people how to make rational, not emotional decisions. Easier said than done, but it's doable. So just like most things in life, it's doable. If you were going to put the work in and focus on that, make it a priority. So when you have an emotional reaction, like what happened from late February to early April, it went too far too fast. Then all of a sudden you saw the narrative, the one thing that sent the market lower for all of that time was just a fear. Notice the language. Fear, it's an emotion that we're going to have a depression or a big massive recession or tariffs are going to just crush the economy.

Earning is going to plummet. The global economy is going to go into a recession, so on and so forth. once Trump changed his stance on the 9th of April and you had that huge rip-roaring rally, all of a sudden things changed and they changed quickly. Now, you didn't go straight up in the market. You still moved down for another week or two until we got some more clarity. But then it became pretty clear. A lot of people started coming to the table, other trading partners.

Trading deals got closer and closer to getting done. Remember, you know, understandings were done. And we moved closer towards a new best. better future opposed to a dismal recession depression kind of scenario. So once that depression recession is taken off the table, market a huge rip-roaring rally over the last maybe four, five, six weeks now. Seven weeks. So six, seven weeks now. We've had just a really big rally. The NASDAQ 100, the QQ, for example, went from 402 all the way up to 522 in that range,

523, that is a massive, massive rally. When you look at the NASDAQ 100, right, this is not some small penny stock that nobody cares about or people don't know. This is the QQ, the NASDAQ. It goes from 402 to 523. That's a rally of about 30%. Now, it didn't fall 30%. I'm going to talk about that in a second, But that's a big rally off those lows, right? You rally 25, 30 percent. That's a big move up. The market has earned the right to pull back and consolidate, digest, pause, consolidate that move. Markets don't go straight up.

It's normal to see markets go up, pause a little bit, go sideways, and you have pullbacks along the way. There's an old expression that the market takes the stairs up and the elevator down, which means you go up, sideways, go down, just a little pullback. and they go up again, sideways, down a little bit, and up again, so on and so forth. It's watch repeat. Now, what does all that mean for us? What that means is that right now the market's pulling back.

You know, Gary's been on radio day in, day out last week, the week before is telling you, hey, markets are very extended, very extended, and we're likely to have a pullback. And this week, the market's down, and that's exactly how markets work. They go up, and then they go down a little bit. They go up and then go down a little bit. So what happens is we have a situation now where the environment is still strong, right? We're just pulling back after a huge double-digit rally in the indices, depending on the index you look at. But you had a huge rally.

All the market's doing now is just pulling back, which is perfectly normal and healthy. And what matters now is to focus on support. And that's why I was to get to with a 200-day moving average. So the S&P 500, today on Friday, pulled into the 200-day moving average. averaging, tried the balance, close in the middle to upper half of the range after finding support near the 200 day. Also, if you look at the S&P 500, the old chart highs, I'm going to use the SPI because we can trade that, right? So I'm going to look at the S&P 500, then I'll talk to you about the NASDAQ and I'll go through the other indices, but it's really important to understand

how this works, like psychology, right, support, resistance, so on and so forth. So the S&P 500, the SPY, the old high from March was 576. The low today was 57560. I can't make that up. It was 576.41 back in March was the high. And today's low was 57560. And the 200 day moving average is 57576. So you're about, what, 16 cents off of that 200 day moving average?

Clearly it pulls back in. And that's a great example of old. chart highs or resistance becoming support. Very, very constructive action where you get a nice pullback. You were very extended at the end of last week, right? And you just pull back this week into the 200 day moving average for the S&P 500. For the Q's, the NASDAQ, the NASDAQ 100, it didn't quite touch the 200 day. 493.62 was the old chart high from March. And the 200 day moving average is 494. The low today was 505. So we're sure. stronger there on a relative basis.

Tech stocks are doing better in general. I've led the market up to a large extent. But really this week, when you look at it, it's just a week where the market pulled back. And even with this pullback, the cues are only down 5.8% below an all-time hot. Very strong action. Now, can we unravel? Yes. Could this be one big, huge, bare market rally?

And then we hit new lows? Anything is possible. but as long as we stay above that 200-day moving average, for now, near-term, that support. Zooming out even further, so before I go even further, it was a down week in the market. For now, it's just pulling back. So far, no problem. If it gets much worse and you get more distribution days, which is heavy selling, and you get just, you know, a lot more decline, like big price declines and more panic, more fear sets in,

different story. But for now, it's just pulling back. There's the time. Up next, I've got a lot more to cover. I'm Adam Sarhan. We're going to zoom out and talk about sectors and a whole lot more. This is the one and only Investor's Edge. Hi, I'm Gary Kalbaum, hosted a nationally syndicated radio show Investor's Edge. We're not just handsome radio people. We manage investors money for a living, specializing in fee-based discretionary money management. No big commissions, just a fee on the assets that's managed. We also provide a full range of money. personalized services, including retirement planning, fixed income, and educational needs, all to assist you in achieving your financial goals.

Understanding not all individuals have the same needs, we'll carefully evaluate your personal goals to determine a proper investment strategy. If your current approach to investing is not getting you to where you would like to be, call us to make an appointment for a complementary portfolio review. The number to call is 888-4-22-559. that's 888422 55559 that's 888 422 55559 investment advisory services offered through call bomb capital management hi I'm Dr. Jake Goodman host of Beyond the script the podcast where I sit down with pharmacists to answer the health questions you didn't even know you could ask at the pharmacy counter in this episode

we are diving into gut health with CVS pharmacist Victoria Motola who explains why so many of us live with stomach issues we should not accept as normal. A lot of what I see is just like chronic bloating, chronic stomach aches. Like I get a stomach ache every time that I eat. And it just becomes like a lifestyle where, oh, yeah, you know, I just, I have a stomachache every day. Or I'm constantly feeling like gassy. And all of those things are not something that generally, if you have a healthy gut, you should be living with. So that's when we deep dive.

We deep dive into your medication, we deep dive into your OTC medication, and then at that point we can probably identify something that we can change. Hear the full conversation, plus some fascinating facts about how gut health affects so much more than just your stomach on Beyond the Script, a podcast from CVS Pharmacy and IHeart Radio. Listen now wherever you get your podcasts. Here's a quick podcast for all you true crime fans. The Case of the Missing Rees. It was me at the store with my mouth.

Motive? Um, they're rees. What was that going to do? Stop myself. Tune in next time to see if I do it again. Spoiler, I will. Wow, that had everything. Rees.

Suspense. Rees. On Deck is built to back small businesses like yours. Whether you're buying equipment, expanding your team, or bridging cash flow gaps, OnDec's loans up to $400,000 make it happen fast. Rated A-plus by the Better Business Bureau and earning thousands of five-star trust pilot reviews, On-Dec delivers funding you can count on. Apply in minutes at on-deck.com.

Depending on certain loan attributes, your business loan may be issued by On-Dec or Celtic Bank. On-Dec does not lend in North Dakota all loans and amounts subject to lender approval. It's time to switch on the integrator units and get the brain cells working. You're listening to. Hey, this promises to be fun. Edge. The last bastion of quality programming with Gary Coltbaum. It doesn't get better than this. And welcome everyone to Investors Edge. I'm Adam Sarhan. In case you're just joining us, welcome to the show. Go to GaryK.com. You can rewind, pause, fast forward, listen on any device you want, anytime you want, all for free on GaryK.com.

All right. So we can review. Markets are pulling back after a big move up, big, or bigly move up, depending on the word you want to use, but it's a huge move up. All right, great. Markets pulling back. Watch the 200-day moving average for the NASDAQ-100, the QQ, and for the S&P. Now, the other indices are weaker on a relative basis. And what I mean by that is that the other ones, I'll go through them now, are below their 200-day moving averages. The Dow, the DIA, if you want to look at that, is below its 200-day moving average. And your understanding, situation now where it's not the end of the world, it's only 30 stocks and that's okay, but it's weaker because you didn't have a situation yet, and that could change,

but yet where we had Dow back at new highs. The midcaps, the MDY, this is the S&P 400, below its 200-day moving average. Again, weaker on a relative basis, and it's 12, almost 13% below its 52-week high. So where you're fishing, you know, what pond you're fishing in or what lake you're fishing in, matters, right? Small caps. These are 2,000 stocks, the IWM, the Russell 2000. It's down 17.3% from its 52-week high, much weaker on a relative basis.

And both of those indices, the MDY and the IWM are both below their 200-day moving averages. So, again, weaker on a relative basis. Not only a big percent decline below their 52-week-high is bigger than the S&P and NASDAQ, they're both in the Dow as well below their 200 day moving averages. So we want to see for those indices, then get back above the 200 day moving average. Why? Because that's just, think of like a line in the sand. It doesn't mean you have to be above the 200 day moving average in order for your stock to go up.

There's thousands and thousands of stocks out there. But think of it as headwind versus a tailwind, right? If you're flying and there's a headwind, it slows the plane down. If there's a tailwind, it speeds it up. Being below the 200-day moving average slows things down. In order for the market to go up and double from here, it'd be up 20%. It has to, for the most part, get above its 200-day. That's just typically how markets work.

So the fact that these indices are below that level, that's important because most of the market are in these indices. The S&P 500 is 500 stocks, and ASDAQ 100 is 100 stocks. So there's 600 stocks there. Outside that universe, big cap tech and big blue chip companies and benchmark S&P 500 and NASDAQ companies, there's thousands of stocks that are lackluster at best. And you can see that in the MDY, you can see that in the IWM, the Russell 2000, you know, the small midcaps, right?

There's 2,000 stocks in the Russell 2000. There's 400 stocks in the midcap, 400. That's 2,400 stocks compared to 600. So sure, you can look at Apple, you can look at Google, you've been. You can look at Microsoft or Meta, Amazon, Tesla, the big cap stocks. And they make up from a, a lot of these indices are market weighted. So the big, bigger the weighting of the stock, it impacts the index more. Not always, but many times.

Okay. So if a few of the big cap tech stocks or big cap stocks are holding things up, it doesn't really give you a good lay at the land. Because under the surface, lots of times, again, depending on what pond you're fishing in, so to speak, a red ocean, blue ocean, reds a lot of sharks and, you know, blood in the water, so to speak, and blue ocean's wide open. There's not a lot of sharks. Think of like an uptrend downtrend, right? The downtrend or choppy sideways action is where most of the market is right now. The uptrend where things are great, you know, we haven't even broken out yet to new highs.

So when you zoom out, remember I said I want to zoom out the end of the week, we're almost the end of the month, I always like zooming out and saying, oh, where are we in the cycle? When you look at a monthly or look at an annual chart or longer term charts, the good news is the S&P and NASDAQ are only 5, 6% below their all-time highs, the other indices down some more, but we're still basing. We're moving sideways. Yes, we're in a longer term uptrend. If you go look for the last five years, 10 years, 20 years, sure. And the fact that we're very close to breaking out to new highs, this bullish, especially with everything going on, but the environment has been difficult this year, especially for growth stocks.

Because of the fact, there's M, I have an investment system called AMP, AMPD, and M, AMA, stands from market conditions. Can Slin, if you're familiar with investors' business daily, Bill O'Neill has a canned slim investment system. The M stands from the market. Most stocks follow the market. The market's going sideways or lower. most stocks are doing the same thing.

So keep that in mind as we move forward. Now, if the market breaks out and hits new highs, enter any positive news on the trade front or any headline that could help the market go higher, great. We'll be in another uptrend because the market is broken above resistance and then by definition, the S&P and NASDAQ that could be at new all-time highs. Then the odds are you're going to see a lot more stocks rallying

and raising to new highs because the market's made up of stocks, right? A lot of these big cap stocks also. But under the surface, if a lot of the smaller ones and the midcap ones start waking up and you get more growth coming into the market, guess what? The environment changes and it changes quickly. So I just want to put that in perspective. Overall, we're range bound. Overall, we're sideways.

Overall, we're very close to new all-time highs in the S&P and NASDAQ. All of that is the fact that we're close to new all-time highs, good signs. Good sign. Now, if you see a situation where we start breaking down, the word distribution, Gary's mentioned it many times, aka heavy selling shows up, especially out of nowhere, then all of a sudden things change. I'll get a lot more defensive. If we break the 200 day in the S&P or the NASDAQ, if we start seeing distribution days,

which is a down day on heavier volume than the prior session, I'll get a lot more defensive. Why? Because when the facts change, I change, what do you do, sir? It's a famous line by Lloyd Keynes, a famous economist, I think from like 100 years ago or whenever it was, way long time ago. But he's spot on and it's timeless. When the facts change, I change. What do you do, sir? I don't want to stay on the wrong side. Oh, I'm bullish. The market's going down. I need to be bullish. No. I want to be in harmony with the market.

I have a whole thing. It's called to play on the word harmony. I just call it harmony with the market, right? Stay aligned with the market. Be long and full market, sideways market. Recognize that it's choppy. I'm holding back a little bit, playing more defense now. If and when we break out to new highs, guess what? I'll get bullish again.

Increase risk. But for now, we're still sideways. And many areas in the market, we speak about sectors. I'll get there in a second. like the small caps, the midcaps, are still under that 200-day moving average line. So it's important to keep that in mind, right? And not to get caught up in the game of fighting the tape.

The tape is just an old way of saying the market or a fancy way of saying the market. I used to do that. I know more. I'm going to do this. Me, me, me, me, me. Ego, ego, ego. Uh-uh.

To losing proposition. Stay in harmony with the market. So the time's right around the corner. I was about to go into a next point. But up next, I'm going to talk about some sectors, some more about decision making. I'm at, and then the headlines for today. I'm Adam Saran.

This is the one and only investors age. Hi, I'm Dr. Jake Goodman, host of Beyond the Script, the podcast where I sit down with pharmacists to answer the health questions you didn't even know you could ask at the pharmacy counter. In this episode, we are diving into gut health with CVS pharmacist Victoria Motola, who explains why so many of us live with stumbus,

issues we should not accept as normal. A lot of what I see is just like chronic bloating, chronic stomach aches. Like I get a stomach ache every time that I eat and it just becomes like a lifestyle where, oh yeah, you know, I just, I have a stomachache every day. Or I'm constantly feeling like gassy. And all of those things are not something that generally, if you have a healthy gut, you should be living with. So that's when we deep dive. We deep dive into your medication. We deep dive into your ROTC medication, and then at that point we can probably identify something that we can change. Hear the full conversation, plus some fascinating facts about how gut health affects so much more than just your stomach on Beyond the Script, a podcast from CVS Pharmacy and IHeartRadio. Listen now wherever you get your podcasts.

Reese's peanut butter cups, they go perfectly with music, podcasts, and welcome back to the show, even nature sounds. Oh, and the thing where someone crinkles tissue and whispers at you. Hello. Look, I'm not here to judge what you listen to. I'm here to judge you for not eating Reese's while you listen to it. Rees. Ashley, go back to the nature sounds. Nice.

Yeah, that's really nice. Cashflow crunch? On-deck's small business line of credit gives your business immediate access to funds. Up to $200,000 right when you need it. Cover seasonal dips, manage payroll, restock inventory, or tax. Tackle unexpected expenses without missing a beat with flexible draws, transparent pricing, and control over repayment. Get funded quickly and confidently. Apply today at on deck.com. Funds could be available as soon as tomorrow. Depending on certain loan attributes, your business loan may be issued by On Deck or Celtic Bank.

OnDak does not lend in North Dakota. All loans and amount subject to lender approval. We're listening to America is talking. Investors Edge. He's got to be pleased with that. The crowd is just on its feet here. He's a sooner out of boy With Gary Colbomb Comes highly recommended You're gonna feel better If you talk to him

And welcome once again To Investors Edge In case you're just joining us I'm Adam Sarhan In for Gary Kaye Who's out today I wish everyone A very happy Memorial Day

Weekend We spoke about the market At the end of the week Week in review We're pulling back Watch support Which is a 200-day moving average line For the S&P and the NASDAQ

The other indices are below that line if we get more distribution, no bueno. It's not going to be a good thing. More distribution is heavy selling, heavy volume down days. If the bulls show up and defend support, we stay right here and we start to rally from here in the S&P and NASDAQ, that'll be a good thing. And pave the way for another leg up.

Really, it's just that simple. So a lot of it is headline-driven. headlines. Today Trump came out and said he wants to move forward with nuclear energy. Nuclear stocks what's the right word? I was going to say on fire, but that's not a good way of saying. Nuclear stocks had a good run today. So based on that news, we remember politics, D.C. policy from D.C. The Fed, Congress, White House moves the market. Okay, a lot of nuclear stocks rally today. Gold.

Gold has been a very strong market this year, pulled into the 50-day and bounced. And it continued to bounce this week off the 50-day. GLD is a ticker there. And then in other news, Trump this morning said he wants Apple to start manufacturing iPhones in the U.S. And if they don't, you're going to hit him with a 25% tariff. So Apple ended up to 3% low. lower today, lost six bucks, closed at 195, 27, and closed lower half of the range. That was a distribution day because you had heavier volume than the prior session and above

average volume in Apple, right? AAPL is a ticker, is approximately 63 million shares. Today you had 77.6. So 63 is average. Today we're at 77, almost 78 million shares, above average selling. And you close lower half of the range and you lost 3%. that weight on the overall indices, right? So, and the EU.

He came out and said, oh, by the way, EU's not really playing ball. He didn't say that, but that's the implication. So let's go out there and let's possibly put more tariffs on there. We'll see. But he wants a deal. He said what the president said might go as high as 50% tariffs on the EU and 25% on Apple.

if it doesn't move its iPhone manufacturer for the U.S. In other news, Scott Bessent, the Treasury Secretary, says he sees several large, quote-unquote, trade deals in the next few weeks. He expects to meet with China again in person to negotiate tariffs. He told Bloomberg TV, and that could be a sign of, hey, the market's down. Let's go out there and say something nice. Or there's actually and or, not or, but and or, there's trade deals. coming around the corner. Either way, the market's going to probably respond favorably to trade deals if I had to guess. Again, notice the word guess. I don't know what the trade deal

is going to actually be. The market doesn't know what the trade deal is going to be either, and a lot could determine or depend on what actually what deals get done, what those deals look like, so on and so forth. But for now, the environment, it's in that wait and see mode. We can easily rally from here. This could just be a normal pullback after a very strong rally from the April lows. Or this could be something that can get much worse if we start breaking down and we start seeing more distribution. All right. Next, right, decision making. It's one of my favorite topics. and spoke to a reporter earlier today from Bloomberg. She called me and asked me about Tesla.

She goes, Adam, how do you handle Tesla's valuation? What do you make a Tesla's valuation? And what do you think about it? I said, well, very simple. You have a situation where Tesla stock doubled after the election, more or less. I went from 212 to 488. and then Elon said, hey, I'm going to step back from running Tesla

and go into Doge and the government and this, that, and the other thing, and the stock went from 488 all the way down to 214. I'm hard-pressed to believe that that kind of move up and then move down is 100% based on fundamentals.

I don't know if they sold that many more cars and then stopped selling that many more cars, more cars. And by the way, after it went down to 2012 or 214, excuse me, it came roaring back. It's now all the way up to 339. What did Musk say, not Trump,

what did Musk say a few weeks ago, hey, I'm coming back to Tesla, I'm leaving Doge. I told her, and I'll tell you, a lot of that move up back in Q4 of last year after the election. And then down,

when they said Trump's leaving, and then back up again from 214 to 339 in Tesla. It's not based on how many cars they sell or the robotaxies or the android bots or Optimus Prime or whatever's going on. Sure, a lot of it has to do with what possibly potential. Sure, this could happen. Great. But a lot of that move based on emotions.

Again, people overreact up and down. Fear, greed, two strongest drivers in the market. And it's really a very powerful phenomenon. And when we understand that we're all humans, and we're driven by emotions as well, it gives us a tremendous amount of freedom. Why? Because then we can start making better decisions. Smarter decisions, more objective decisions.

Don't think it happens to you? Sure. Let me ask you this question. First of all, there's something called cognitive biases, which means if you have a mind, do you have biases? Okay, one of them is called a personal blindspot bias, which means you have a hard time seeing yourself objectively. Ask 100 newlyweds, raise your hand the night if they get married if you think you're going

divorced. No one's going to raise their hand, right? I speak to investors all the time all throughout the country. I always ask them, raise your hand if you think you're going to beat the market. Everybody in the room raises their hand. We know statistically most of them are not going to beat the market. And that's okay. But they don't see that, right?

the 100 newlyweds the night of their wedding, they don't see the fact that they can get divorce. That's not going to happen to me. Again, personal blinds about bias. I'm not making emotional decisions. That impacted me for years. I wasn't even aware of the fact that I wasn't making emotional decisions. So keep that in mind as you proceed, right?

Oh, I'm not, you know, fear and greed drive markets. People make emotional decisions, not rational ones. Sure. But that's not me. No, I'm not, it doesn't apply to me. Hold on a second. Let's look at that objectively. Let's look at it from a third point of view.

How do you do that? Lots of ways. One of the ways that I do it is I print out, I used it in the old days, now it's just screenshots, my trades. Something called post analysis, Gary's spoken about this on the show before. You print out your trades. I have two folders, winners and losers. And the winning folders, I look at the trades. What logic?

And I write down on the paper, or annotated on the chart. why, the logic I bought the stock. And then my logic when I sold it. Why did I buy? Why did I sell? And then I look back after the fact, six months later, a week later, two weeks later, I review them multiple times. Most people look at that as painful, especially the losers, right?

Even the winners are painful too because I won 5%, but I should have won 20 or 50 or 100 or doubled afterwards, right? It's happening many times. But I look at that pain. I neutralize it. It's okay. I'm human. I'm going to make mistakes. And that's okay. There's nothing wrong with that. Let me address it. Let me look for habits. Let me look for recurring patterns. People are creatures of habits, right? How do I improve? Let me look for an edge. Investor's edge. Hey, am I getting caught up every time a stock goes above the 50 day or below this thing or that?

What can I determine? What can I, like a detective, look for clues. Did my, emotion, did I get shaking out of a stock prematurely? It didn't break the 50. It just went down a little bit and I was scared it was going to lose all the profit. Yeah. Oh man, maybe next time I'll have a hard stop and I'll walk away or something else to deal with it to resolve it so it doesn't happen again. Then after I neutralize it, it's no longer painful. Then I neutralize it. And then I become happy about it. I turn into a W to a pleasure event. Yeah, I lost my on that trade. That's okay. Every single active trader that I know of in the history of mankind has losses. And as long as you keep those losses small, that's okay.

As long as the winds are bigger. So keep that in mind, figure out, it's almost like looking in the mirror. It becomes a fun exercise over time. At first it's hard, like anything in life, then it becomes easy. All right. Up next, we've got a lot more to cover. I'm Adam Sarhan. This is the one in only investor's edge.

Hi, I'm Dr. J. Goodman, host of Beyond the Script, the podcast where I sit down with pharmacist to answer the health questions you didn't even know you could ask at the pharmacy counter. In this episode, we are diving into gut health with CVS pharmacist Victoria Motola, who explains why so many of us live with stomach issues we should not accept as normal. A lot of what I see is just like chronic bloating, chronic stomach aches. Like I get a stomach ache every time that I eat and it just becomes like a lifestyle where oh yeah, you know, I just have a stomach kick every day. Or I'm constantly feeling like gassy.

And all of those things are not something that generally, if you have a healthy gut, you should be living with. So that's when we deep dive. We deep dive into your medication. We deep dive into your OTC medication. And then at that point, we can probably identify something that we can change. Hear the full conversation, plus some fascinating facts about how gut health affects so much more than just your stomach on Beyond the Script, a podcast from CVS Pharmacy and IHeartRadio. Listen now wherever you get your podcasts.

Here's a quick podcast for all you true crime fans. The case of the missing Reese's. It was me at the store with my mouth. Motive? Um, they're Reese's. What was I going to do? Stop myself. Tune in next time to see if I do it again.

Spoiler, I will. Wow. That had everything. Reeses, suspense, Reese's. OnDec is built to back small businesses like yours. Whether you're buying equipment, expanding your team, or bridging cash flow gaps, OnDec's loans up to $400,000 make it happen fast. Rated A-plus by the Better Business Bureau and earning thousands of five-star trust pilot reviews,

On-Dec delivers funding you can count on. Apply in minutes at on-deck.com. Depending on certain loan attributes, your business loan may be issued by On-Dec or Celtic Bank. On Deck does not lend in North Dakota all loans and amounts subject to lender approval. You're listening to. What are we waiting for? Well, what are you waiting for? One, two, ready, go.

Investers Edge with Gary Culpa. And welcome once again to Investor's Edge. I'm Adam Sarhan in for Gary Kay, who's out today. In case you missed any part of the show, you can go to GaryK.com. You can rewind, fast forward, listen at your convenience, any device 24-7 all for free. A few more things. Spoke about the market.

Just as a quick highlight, I'd like to recap at the beginning of every second when I'm back. We can review. Looking back, we have a clear line in the sand. We're down. We're pulled back this week. Okay, so far, so good. No, nothing's wrong with pulling back.

Up next, we've got Navidia reporting earnings. And then after that broadcom, the week after, we're approaching end of the month where we potentially could have some trade deals coming. The Treasury Secretary told us that. So the market pulled back this week after a huge move up. So far, it's a contained pullback with one distribution day. No big deal.

If that gets worse, you break the 200 day in the S&P, you break the 200 day in the NASDAQ, I'll get a lot more defensive. That means things have changed. If this is it, this is a pullback, and instead the bulls show up and defend that 200 day and we start rallying from here, I'll get a lot more offensive. And then if we can break out above new highs and hit new all-time highs and in your future

in next few weeks or so or next few months or over the summer, great, even better. Get trade deals and boom. All right. Let's go through some sectors. EUFN, European financials, very strong year to date, one of the strongest areas in the market. Gold, GLD. I think it's up 25% this year. Very strong, bouncing off the fifth.

day moving average. The industrial X-L-I up, I think it's like 7% for the year. Good run since April's low. It's just extended in the short term. Utilities, X-L-U, have been range-bound for many, many months, going back to maybe October, September of last year, up for the year, but not by much. I think it's like 5%, but still up for the year. We'll take it. Still, SLX, up just below the utilities, 5.53% for the year, below the 200-day. Watch for a breakout above that 200-day in the SL-X. The financials. Stronger on a relative basis, it's above the 50-day, above the 200-day, but it's only up about 4% for the year, the XLF there. But if that can get going and break above 51 to 52, that's going to be a big base breakout there and be bullish for the economy

and for the market. Consumer Staples, XLP, up about 3.4% for the year. And it's above its 50-day moving average and it's 200-day moving-in. Just basing for six, seven, eight, nine months now, just a long base, if not longer. The DBA, the agriculture is above the 50-day. That's corn, sugars, sorry, corn, soybeans and wheat. Agriculture's up about 3% for the year. Nothing really crazy there. What else?

I want to show you. Metals and mining. XME is an ETF there, up about 2.5%. And that's really it. Material stocks, XLB is up about 2% for the year. And that's it. Everything else for the most part is down. Semiconductors are down just slightly for the year.

And then we've got losses going all the way down. Gold stocks are the strongest area in the market sector industry group right now. The nuclear stocks had a big move today. But outside of that, you still got a lot of areas that are weak. So again, if you have FOMO, if you fear of missing out, just take a breath, relax, identify the fear, and realize, hey, The market hasn't even broken out yet. And most sectors are underwater this year.

So take your time. There's no immediate rush. And that's important. Right? So you don't operate from a position of weakness instead you're operating from a position of strength. And again, that's important. Right. A few other things.

Let's talk about what do you do when you have a stock that gets away from you? You know, can you catch every stock? The answer is no. Not that I know it. I don't know anybody that catches every single leading stock every single time. And that's okay. It's kind of like the high school boy goes into the dance and wants to kiss all the pretty girls. Can't do it.

Wish you can. Can't do it. And that's okay. You find one good leading stock, two good leading stocks, and you have a good run for the year you can do extremely well. Just a handful. And wow. And that's okay. As long as the losses are small when you're wrong.

And when you're right, the winners are big. But if there's not a lot of winners right now in this environment, And I don't have a lot of winners right now. Markets range bound. That's okay. I'm backing off. I'm not forcing it. But I'm ready.

I'm locked and loaded. Every day in the morning, I look at breakouts. Every day at the end of the week, look at the strongest stocks in the market. Separated by market cap. Have my finger on the pulse. I know the market's range bound. That's okay. I miss Netflix.

All right. It got away from me. I used to get upset. That just compounds the problem. one I missed a stock now I'm upset now more emotional what happens to somebody when they're more emotional they're making better decisions or worse decisions all things being equal probably worse decisions okay slow down now hold on a second here all right I missed it that's okay I'm not going to catch them all and I'm okay with that that was a big freeing for a moment of freedom in my journey my evolution

because I don't have to sit there and beat myself up or be upset because I quote unquote miss something I didn't miss anything. Yeah, the stock got away from me. That's okay. As long as I have my rules, I'll catch the next one. It's like a bus or an elevator. You're in a building. You miss an elevator.

You're in a elevator's coming. You missed a bus. Another bus is coming. That's okay. When I sit there, miss an elevator, get all yell and scream and jump up and down? No. But it's really tempting, especially when it was on my list. I saw it.

Did you buy it? Right? So I used to get upset. Again, it doesn't serve me, so I stopped. adjusted the behavior. No need for it. I want to do things that serve me that help me, not things that don't.

What helps me? Staying calm, cool, collected, and making rational decisions and separating myself from the event. All right, is this going to matter in a year that I missed a stock that went up a lot? No, not really.

So don't let it matter today. That helped me out a lot as well. That beating yourself up, it's just a negative, trade, there's no R-A-Y. All right, take that energy. Focus on finding the next winner. Focus on asking yourself learning. Why did I miss that stock? Is this a pattern? Is it a habit? What can I do different? Really powerful, really powerful, because then you can start learning. Taking that power, that energy and that frustration and shifting it from a negative to a positive,

ask myself, what can I do better next time? How do I avoid this from happening again? right? What can we do to move forward and make sure we catch the next batch of winners? So I believe that's all the time we have. I want to thank you very much for being here. As always, do what Gary says, hug the children. Enjoy the moment. Have a great weekend, everybody. This two shall pass. Eventually, we're going to break out, have another leg up. And if we don't, we'll play more defense. Until then, I'll speak to you again soon. Have a great weekend, everybody. Happy Memorial Day. Mr.'s Edge with Gary Cult Bomb on BizTalk.

To listen to past episodes or to get in contact with Gary, go to GaryK.com. That's GaryKK.com. Guys, it's no use putting it off. The best time for an underwear refresh is now. Tommy John Underwear is designed for a perfect fit that stays put all day. Their zero-chafe thanks to four times more stretch than competing brands. And their innovative horizontal quick-draw fly is a game changer. With over 30 million pairs sold,

there are thousands of men out there more comfortable than you. Don't settle for less. Go to Tommyjohn.com today for 25% off your first order with Code Comfort. That's Tommyjohn.com code comfort. Tommy John. Comfort perfected. With the Venmo debit card, a taco in one hand, and ordering a ride in the other,

means you're stacking your rewards. Nice. Get up to 5% cash back with Venmo Stash on your favorite brands when you pay with your Venmo debit card. From takeout to ride shares, entertainment and more. Pick a bundle with your go-toes and start earning cash back at those brands. Do more stash, get more cash. Venmo stash bundle terms and exclusions apply.

See terms at Venmo.combe.combe slash stash terms. Max $100 cash back per month.