INSIDE: The Holiday Shopping List That Pays YOU!

This post INSIDE: The Holiday Shopping List That Pays YOU! appeared first on Daily Reckoning.

If there’s one thing I hate more than shopping, it’s last minute shopping.

Last year, I did most of the holiday shopping for the family online. So I thought I had all my ducks in a row. But when one of my daughter’s gifts didn’t show up in time, I had to scramble.

And so I ventured out to our local mall. It was just me and about 20,000 other shoppers trying to get that last minute gift before heading home for the holidays. Talk about a stressful situation!

This year, I’m double checking to make sure I have enough time to enjoy the holidays with my family.

And at the same time, I want to help you avoid last minute stress.

Only instead of getting your holiday gifts on time, I’m talking about helping you get your holiday investment gains before the Santa Claus rally passes you by!

Here’s how to make the most of the holiday market opportunities…

A Powerful Holiday Rally is Just Around the Corner

It may be too early for stores to put up their Christmas displays. (I think proper etiquette is to wait until at least November 1st).

But it’s not too late to get prepared for the stock market holiday rally.

This year, you’ve got more opportunities than normal to cash in on this rally. And it all ties back to the tremendous job market that continues to grow in the U.S.

Last week, the payrolls report was released, showing that unemployment has now hit the lowest level since 1969. Essentially, anyone who truly wants a job can find one. And more employees are leaving their existing positions to find new and better jobs.

So the number of people in America with a steady income and money to spend on the holidays is near an all-time high. And that’s great news for retail stocks.

Just yesterday, investment firm Deutsche Bank upgraded Walmart. The big-box retailer is expected to compete well against Amazon and grow its market share this holiday season.

Other retail stocks are also moving higher as Americans spend newfound wealth on everything from merchandise to experiences. And you better believe this trend is going to continue into the holiday season.

The big question for us as investors is how to profit from these rising sales and fatter profit margins.

The Time to Get In is Now!

If you’re waiting to see Christmas lights in your neighborhood stores before buying your favorite retail stocks, let me offer you a word of caution.

Waiting until the holiday season is upon us is a lot like waiting until Christmas Eve to start shopping. You’re going to have to fight through crowded markets and pay top dollar for anything you buy.

That’s because investors are already scouring the markets for good opportunities. And they’re already reacting to the strong job market. So the sooner you get your retail stocks bought and in your brokerage account, the more time you’ll have to turn a profit as other investors buy after you and push up the stock price.

This week marks the start of the traditional third quarter earnings season.

Which means corporations will be not only telling us how they did during the last period, but also offering projections for the final quarter of 2018.

As those projections come in, the stocks should start to rise ahead of the holiday shopping season. And then there will be additional catalysts along the way. (Like sales estimates on Black Friday, November and December monthly sales reports, and finally the fourth quarter earnings reports which will start hitting the wires in January.)

By locking in your investments now, you’ll be able to sit back and watch these news events drive the value of your investments higher, giving you some extra income to buy gifts for the special people on your list.

I suggest looking closely at apparel stocks, specialty merchandise companies, and even experience stocks like SeaWorld Entertainment (SEAS) and AMC Entertainment (AMC). After all, these are the places where Americans with great jobs will be shopping.

Don’t wait until these stocks move higher. Get your stock market shopping done today!

Here’s to growing and protecting your wealth!

Zach Scheidt
Editor, The Daily Edge
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The post INSIDE: The Holiday Shopping List That Pays YOU! appeared first on Daily Reckoning.

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