The caller was wondering if we are at a market top and should we use daily or weekly charts to determine if there will be a market top reversal. This involves macro analysis which he a does a lot of. He uses weekly charts and the 200 day moving average. Look for higher highs and higher lows in the weekly charts. As soon as the last low is taken out and there is a break of the 200 day moving average it is a strong indicator that the former trend will turn into a base or a downturn.

What happened in the last decade in bonds won't happen going forward. The world be slightly more inflationary going forward, but nowhere as bad as post-Covid, like 2.5-3%. There will be government deficits (a major problem), so there will be a need to finance that debt. The 60/40 portfolio no longer works. Look at XBB. Today, the best you'll earn in a bond portfolio is 3-3.5%; you have credit risk and capital risk of inflation. Not bonds, but private credit will give a much better fixed income return for the next decade.

Is both a cyclical and secular growth story and can ride any cycle. It can grown in any environment, and not held hostage to interest rates. It benefits from aging homes (that need repairs), Millennials want to own homes and will spend at HD, and the new home shortage which need pro contractors to build them (who spend at HD).

Company Highlight: Real Matters Inc. (REAL)

Real Matters Inc. (REAL) stock price was up 20% on the month, 45% year-to-date, and 48% over the past year. REAL continues its impressive run over the last year and was last mentioned in the August edition of this blog. The stock has a 52-week range of $4.43-$9.46.

REAL operates in the real estate appraisal and title service industry in North America, the company plays an essential role in the value chain of the real estate market by helping mortgage lenders reduce the risk of lending and meet regulatory requirements. In addition, REAL also provides insurance inspection services by ensuring all the historical and current owners of the property are taken into account during the due diligence process, maintaining transparency between buyers and sellers. REAL generates revenue by providing local knowledge and expert opinions on the fair market value of a residential property.

There was no company specific news that drove September’s share price gains. REAL continues to be highly sensitive to rates and the housing markets. With the US making their first rate cut in September, this likely improved investor outlook for housing market activity generating investor optimism around REAL.
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