| Dear Reader, The stock market has had the heebie-jeebies for much of this year. Up to June, it was falling pretty hard. Since then, it’s been up and down. I have my own views on that big downturn… I call it a ‘technical sell-off’. Nothing to do with the quality of the individual companies. I get into it more here, but the bottom line is I actually think many of the stocks on our market are currently in great health (particularly some of the smaller ones). Right now, I think you have a golden opportunity... A chance to grab a handful of excellent, oversold Aussie stocks that I think could lead the market out of this uncertain period. You know, I can’t help but think back to the end of 2015. I don’t know if you remember it. The market dropped 8% over a few weeks heading into 2016. Back then, people were screaming at you to get out of stocks. The Royal Bank of Scotland even put out a report telling investors to ‘sell everything’ in anticipation of a crash. They were wrong. The market duly bounced and some investors did very well...because they could see it for what it was: a ‘technical sell-off’. Technical sell-offs typically happen when several institutional traders all exit long positions at the same time after a ‘support level’ is breached. This pretty much happens automatically. The market dips below that support level…and then stocks are sold en masse by big institutions. This selling pressure drives share prices down. Virtually every stock is affected. It can have a big effect on our relatively small market. But it’s not bad news for stocks. Not in the way I see it. On the contrary. I’m calling this a BUYING opportunity. The market powered up again in 2016. It looks like it could do so again over the coming months. And I believe I have found the stocks to help you take full advantage. To find out more, go here: ‘The Five-Stock Bounce-Back Portfolio’. Cheers, Callum Newman,
Editor, The Daily Reckoning Australia | 