by NelsonCorp Wealth Management | Aug 3, 2023 | Indicator Insights
Last year on this blog, we highlighted how a surge in interest rates had led to an environment in which stocks were poorly valued based on profitability measures like Return on Equity (ROE), which measures how much a company earns for each dollar of equity...
by NelsonCorp Wealth Management | Jul 27, 2023 | Indicator Insights
Industrial production is one of those unglamorous economic statistics that not many people think about on a regular basis. But it is an important statistic nonetheless, as it measures how much physical “stuff” we are producing in vital economic sectors like...
by NelsonCorp Wealth Management | Jul 20, 2023 | Indicator Insights
This week’s featured indicator highlights a concept known as the stock market’s rolling drawdown. The rolling drawdown—or trailing loss—is a measure used to assess the maximum loss an investment has experienced over time. In this case, we’re looking at the...
by NelsonCorp Wealth Management | Jul 13, 2023 | Indicator Insights
This week I want to introduce a technical indicator called a moving average cross. The basic idea is that you take two moving averages—one shorter-term and the other longer-term—and generate buy/sell signals for an asset based on whether the shorter-term moving...
by NelsonCorp Wealth Management | Jul 6, 2023 | Indicator Insights
Liquidity, or easily accessible money, is an important driver of stock market returns. A simple metric commonly used to measure liquidity is the M2 money supply, a broad measure of the money in the economy available for spending and investment. When it’s...
by NelsonCorp Wealth Management | Jun 29, 2023 | Indicator Insights
This week’s featured indicator looks at the relative valuation of the stock market based on the money supply. The idea is that if we compare stock prices to some economic gauge—like the money supply—we can determine whether prices are competitively valued or...
