"You Must Choose, But Choose Wisely! "

Hi There! October has arrived, quietly ushering us into the year’s final quarter. It's a time to mentally, physically, and emotionally prepare for winter. The hustle and bustle of summer has faded, and we get ready for change. We turn our year's achievements to date into cherished memories, getting ready to share them with loved ones and our communities. The month of October is the opportune time to start looking ahead and setting goals to finish the year on a high note. October, for me, is a month of reflection and preparation, where I find gratitude for what has been and hope for what's to come.

Alright, let’s dig in!

October’s Trader’s Notes:

• In the past, during autumn and winter, the stock market has often seen strong increases in prices, which people sometimes call the "Santa Claus Rally."

• Since the 1970s, the S&P 500, Dow, and Nasdaq have usually gone up by more than 1% each month from October to May.

• October can also be a wild month for the stock market. It sometimes goes up a lot, but it can also go down a lot. For example, in 1987 and 2008, the entire market went down by at least 17%. On the other hand, in 1974, the S&P 500 went up by 16%, and in 2022, the Dow increased by 14%.

Here are five current factors that can affect the markets this October:

• Higher interest rates - Mortgage rate surge

• High oil prices - this will hit the consumer’s pockets at the gas stations

• Student loan repayment resumes

• United Auto Workers (UAW) strike

• Q3 earnings season kick-off

Last week, the stock market was quite turbulent, capping off a bumpy month. Bond yields and oil prices both went up, the latter leading to higher gasoline costs. Both indicators suggested that there may be a prolonged journey to reach the Fed's 2% inflation target. Stocks took a hit, along with the price of gold, even though the personal consumption expenditure (PCE) index suggested that inflation might be growing more slowly than anticipated. The potential government shutdown that loomed was averted at the eleventh hour, but the market remained on edge due to rising yields and the Fed's stance on interest rates. Despite some positive inflation news, stocks ended the third quarter with a whimper, making September the worst month of the year for the S&P 500 and the Nasdaq. The Dow and S&P 500 closed the week down by approximately 1.3% and 0.7%, respectively, while the Nasdaq Composite scrounged a tiny 0.06% gain.

Here are other key highlights from last week:

• The U.S. Congress averted a government shutdown

• Oil settled lower but ended the quarter up 28% on tight supply

• Bitcoin sellers eye $27.5K

• Pokémon NFT card packs are being opened on-chain

• PayPal patent apps signaled an interest in Layer 2 Solutions and NFTs

Here’s what to expect this week:

This week in the U.S. economic news, there are several noteworthy events. Today (10/02/2023) started with the release of the ISM Manufacturing Purchasing Managers Index (PMI), which provided insights into the health of the manufacturing sector. Also, Fed Chair Jerome Powell and Philadelphia Fed President Patrick Harker participated in a roundtable discussion with community leaders, workers, and small business owners, to address important economic issues.

Watch out for the high-impact ISM Services PMI on Wednesday, followed by Initial Jobless Claims and Balance of Trade reports on Thursday. Finally, on Friday, all eyes will be on the Unemployment Rate and the Non-Farm Payrolls report. The latter is expected to show the addition of 163,000 jobs in September, slightly lower than August.

Additionally, several Federal Reserve officials, including Mester, Bostic, Barr, Williams, Barkin, Schmid, Bowman, Waller, and Daly, will be sharing their insights throughout the week.

This is another light week for earnings. The most notable earnings for the week (October 02 - October 06) include McCormick (NYSE: MKC) and Tilray (Nasdaq: TLRY).

This Week’s High-Impact Global Economic Data Highlights:

• Reserve Bank of Australia (RBA) Interest Rate Decision

• European Central Bank (ECB), Christine Lagarde speech

• Reserve Bank of New Zealand (RBNZ) Interest Rate Decision

• Eurozone and UK PMIs

• Canada Unemployment Rate

This week's anticipated bias (not financial or investment advice):

• Monday (10/02/23) - Expect selling and repositioning

• Tuesday (10/03/23) - Best trades will be after 11a CST

• Wednesday (10/04/23) - Bullish

• Thursday (10/05/23) - Secure profits

• Friday (10/06/23) - Sell Bias

Trading Tip: Expect Mondays and Wednesdays to be bullish in October!

Week 09/24/23 - 09/30/23 Recap

Special Tools and Strategies

Our Mastermind group conducts monthly research on stocks that have a higher tendency to grow.

We have shortlisted two retirement shares, which we plan to buy in October 2023. These are:

• The Coca-Cola Company (KO)

• Realty Income Corporation (O)

We intend to purchase these shares on predictable bearish days listed in our monthly Trade Secrets Report.

Disclaimer: This newsletter is strictly educational. The information this report provides does not constitute investment, financial, trading, or any other advice. You should not treat any of the report’s content as such. Please be careful and do your research.