Update: 05-20-24

Gold and Silver Breaks Out    Issachar Update: We are fully invested and had a positive week. I expect to sell some of our slower-moving stocks to make room for more commodity-related stocks like gold and silver. Gold and silver finally had nice base breakouts on above-average volume Friday, leading the way for gold/silver stocks. This commodity breakout confirms we may be headed for prolonged inflation. Investors seek commodities during periods of higher expected inflation as a store of value. One ounce of gold buys the same amount of bread today as 2,000 years ago when Jesus walked the earth. (There is no guarantee that any investment will achieve its objectives, generate positive returns, or avoid losses.)

Market Update: Weaker CPI and retail sales pushed the S&P 500 and NASDAQ indexes to all-time highs. Treasury yields rose on the news, signaling we are not headed for a recession yet. The current lack of evidence of a recession is a bullish influence on stocks. The market believes the Fed will cut rates before the election, pulling money off the sidelines and fueling this rally. Semis, home builders, and computer software led the advance. The indexes are getting overbought while put volume has plummeted, and bullish sentiment is surging. The action on Friday spoke to a potential sea change and rotation into hard assets and commodity names while higher PE-expansion techs took a break.

NVIDA’s blowout earning release and forward guidance on 5/25/23 kicked off an AI revolution, and they are reporting earnings again this week. If they report another great quarter, the indexes could increase as more money flows into AI-related stocks. If they disappoint, it could throw the market in reverse. Stocks have gone up over the last 100 years, but there is no guarantee that they will be up when you want to take your money out. I firmly believe in managing risk (sell stops) to avoid life-changing losses. No one cares more about your money than you do.

Bottom line: Issachar is fully invested, but I expect to trim a few slow horses and trade up to the sprinters who will lead the race. I plan to buy more gold and silver stocks this week now that these commodities have broken out on significant volume. The NASDAQ broke out on huge volume, but a few penny stocks skewed the volume. NVIDA’s earnings could be the catalyst for carrying the market higher or lower. I believe the Fed will cut rates before the election and print more money, leading to more inflation and a recession (stagflation) in 2025. I am all in Issachar and I eat my own cooking. Grace and Peace!

Whatever you do, do all to the Glory of God. 1 Corinthians 10:31

Investors should carefully consider the investment objectives, risks, charges, and expenses of the Issachar Fund. This and other important information about the Fund are contained in the Prospectus, obtained by calling 1-866-787-8355 or visiting IssacharFund.com. The Prospectus should be read carefully before investing. The Issachar Fund is distributed by Northern Lights Distributors, LLC., a member of FINRA/SIPC. Horizon Capital Management Inc. (HCM) is not affiliated with Northern Lights Distributors, LLC.

Important Risk Information: Mutual Funds involve risks, including the possible loss of principal. An investment in the Fund may not be appropriate for all investors. The Fund may hold cash positions when the Adviser feels that the market is not producing returns greater than the short-term cash investments in which the Fund may invest. There is a risk that the sections of the market in which the Fund invests will begin to rise or fall rapidly, and the Fund will not be able to sell stocks quickly enough to avoid losses or reinvest its cash positions into areas of the advancing market quickly enough to capture the initial returns of changing market conditions. The Adviser’s judgment about the attractiveness, value, and potential appreciation of particular asset classes and securities in which the Fund invests may prove incorrect and may not produce the desired results. Past performance is no guarantee of future results. Ratings are only one form of Fund performance and should not be used as the sole consideration in an investment decision. Opinions expressed are subject to change, not guaranteed, and should not be considered investment advice. There is no assurance these opinions or forecasts will come to pass, and past performance is no assurance of future results. For more information regarding the Fund, including current performance, please visit IssacharFund.com. 3377-NLD-05/20/2024  Prior Blog

Dexter Lyons, Portfolio Manager
Issachar Fund (LIONX & LIOTX)
[email protected]
Buy Issachar Fund @ Schwab, Fidelity, or
Fully Committed to Biblically Responsible Investing (BRI)

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