It's Obscene

Obscenity and lewdness are in the news this weekend and it gives investors a diversion from the uneventful actions of the stock market.  The three year chart shown above shows that my screen and model are maintaining a comfortable lead over the Russell 2000.  Last week was an "up" week for me but not for the market.  CENTA and INCR were up 4%+ while SWHC was down 4%+.  I continue to hold those stocks.  I also continue to hold a fully hedged position due to problems with valuation.  Third quarter earnings will start being released soon and they are expected to be down again for the sixth consecutive quarter.  Earnings expectations for the coming year are still positive, though, so I will be watching closely to see if the optimism continues.  It seems like the only optimism being expressed these days is by investors - other events leading up to the election are all pessimistic, and rightfully so.