On January 9^th 2019, we posted a blog with the title, ‘Attention ISA and SIPP Investors! A new bull market may have just begun.’ I can proudly say that we were right on the money because for the year we returned a very respectable 16.5% compared to the FTSE 100’s 12.1%, beating our benchmark by 4.4%.

In our Daily Market Update on Tuesday January 8th 2019, we wrote:

‘Here’s what we noticed that was good and not so good.

We think the bull market that started February 2016 is over. As most investors are aware, the behaviour of the global markets since October 4^th have been brutal. Over that period, we’ve seen the NASDAQ Composite plunge 11.4% (Point A). Knowing what we now know, we believe that the correction on the NASDAQ Composite that begun late January and finished early June was what’s known as a late stage faulty base.

After analysing the market on Thursday June 28^th 2018, we said…

The FTSE 100, our benchmark, has annualised 6.2% since its inception 34 years ago¹. That tells us that if we can beat the FTSE 100 over the long term, we’re going to be blessed with a reasonable rate of return.

It has been a while since we posted our last blog and so we felt it fitting to get you up to speed with our latest thoughts on the market.

Let’s begin with looking at what we were saying in our Daily Market Update on Thursday April 27th 2017. In that update we said…

The market's recent behaviour is bullish and the rebound so far has been powerful. For example, we’ve made a robust 11.3% return over the last three weeks¹.

The good news is that markets appear to have bottomed out – recently experiencing ‘multiple’ follow throughs – an indicator we use to help confirm a change of trend from down to up.

This information is taken from The Big Picture, to download a sample copy please just click here.

In this series of posts we're looking at how investors can capitalise on the investment opportunity that the next 5-10 years could offer.