Great article and sharp macro read! Thanks. So what’s the actual trigger that gets investors to rotate back in here? Cheap, ignored, and under-owned can linger, until something forces the reset.
Price. Once it breaks out (and ideally accompanied by stronger macro, especially global) that should get attention. Flows tend to follow price action, which is why breakouts are an effective trigger (ideally when the rest of the case already stacks up)
I am very bullish on commodity sector. Easy conservative way of participating is to own DBC
yep, many ETF options for the commodities. Getting exposure by a diversified basket of commodity stocks is also a viable, albeit indirect, method.
For those who might be wondering, here's some notes on the methodology behind this valuation indicator (and general principles for indicator design): https://entrylevel.topdowncharts.com/p/detecting-opportunities-in-commodities
Great article and sharp macro read! Thanks. So what’s the actual trigger that gets investors to rotate back in here? Cheap, ignored, and under-owned can linger, until something forces the reset.
Price. Once it breaks out (and ideally accompanied by stronger macro, especially global) that should get attention. Flows tend to follow price action, which is why breakouts are an effective trigger (ideally when the rest of the case already stacks up)