Time for Dividends? (ARES)

by | Apr 25, 2024

There’s always a Bull Market somewhere.

So we’ve been told.

And it’s usually true.

Even when the market is tanking–as it has been for the past few weeks–there are almost always sectors that are doing okay.

For example, if tech is doing terribly then something boring is probably doing well.

Or if AI stocks are tumbling as traders lose their risk appetite, then more “sure-thing” stocks are probably turning upward.

And we’re starting to see that play out.

As the market has become bearish, traders are moving toward dividend-paying stocks. Why? They want to get paid while the market flounders.

Ares Management is a good case-in-point.

It has a nice dividend yield (above the market average) and, not surprisingly, has been doing well lately.

Here’s the chart:

A break above $139.50 could lead to a nice surge, and a nice dividend payment along the way.

We’ll keep an eye on it.

Happy trading,

— Scott Welsh

P.S. As a reminder, these plays are based on my longer-term Weinstein Stage Analysis method. The chart above uses weekly candles and a 30 week simple moving average. For details on this method, see my explanation on this Ask The Pros episode starting at timestamp 20:45.

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