You’ve probably been inundated recently with macro forecasts on the growth of digital media, artificial intelligence, mobile communications, videos, drones and more. But, as a small or midsize B2B, B2C or nonprofit marketer, what forecasts should you actually pay attention to, and which might be used to improve your profitability and ROI?I believe 2018 will be a bumpy ride and hope that my forecasts will smooth out the journey for you. Here goes:Improving Marketing And Marketing Communications By Paying Attention to These1. Considerable thought and time will be spent creating new website language to meet the explosive use of voice activated Internet searches. Voice activated searches, using “personal assistants”, accounted for twenty percent of searches in 2016 (ComScore) and are projected to reach fifty percent in 2020. Your website pages need to understand and reflect how people actually speak.2. Greater attention to brand transparency, complete truth and face-to-face interaction with customers and prospects will take center stage. Cybersecurity breaches, as well as eroding trust in media and institutions, has led to a significant and wide spread quest for truth. Events and interactions at the point-of-purchase provide opportunities to build (or re-build) brand trust.3. Reducing merchandise returns by e-commerce consumers will receive increased focus and require new strategies. While online sales are growing at about three times the rate of those for brick and mortar stores (in part, because of free shipping), almost one-third of e-purchases are sent back (versus nine percent for stores). As shipping is twenty to sixty-five percent of an e-retailers cost of goods (UPS), it’s all hands on deck to reduce this cost.4. While digital marketing will continue to grow, there will have to be significant improvements made for its continued development. Consider the following:- P&G has challenged Google, Facebook, YouTube and others to adapt safeguards against the existing fraudulent traffic reporting and inappropriate content by the end of 2017 or they will stop advertising with them; P&G has already pulled $140 million from them in 2017.- Walmart is also no longer advertising on YouTube.- Facebook claims it can potentially reach 101 million 18 to 34-year olds, but the Census Bureau counts only 76 million of this demographic.- The ANA is attempting to start a six-month, $50 million pilot study with 35 marketers in a test of 30 premium online publishers to determine their actual value.- Added to these, there have been accusations of social media kickbacks, while over 600 million consumers worldwide have ad blockers installed.It is clear dramatic improvements must be made and made quickly.5. As another outgrowth of the mistrust in the marketplace, employees, reps and distributors will become the new marketing communications “influencers”. Of necessity, these people will become “the brand”, and management will recognize the importance of an engaged workforce. In their quest to develop brand champions at every level, savvy leaders will foster authentic and open internal communications.6. Although it might seem to be a throwback, direct mail will receive renewed emphasis. According to Compu-Mail, average response rates for direct mail (5.1%) is far higher than for email (0.6%), paid searches (0.6%), social media (0.4%), or online display ads (0.2%). In fact, direct mail is even stronger among millennials, with response rates of 12.4% among those aged 18 – 24. Data also suggests that direct mail is better than email for generating longer term customer engagement.7. Bloggers will continue to be a factor, but writing longer posts, spending more time crafting them, and publishing less frequently (Orbit Media). Specifically, posts went from 808 words in 2014 to 1,142 words in 2017, with the average post taking nearly 3 ½ hours to create. The current regimen shows 3 percent posing daily, 22 percent posting weekly and the majority posting only several times a month or less often.Changing Your Strategy, Planning And Tactics1. Marketers will recognize that – in the face of a changing marketplace – the most important aspect of profitable growth and improved ROI is developing a meaningful marketing and marketing communications strategy. Having experimented in recent years with a vast variety of tactical resources (in large part because they’re easy to grasp), marketers have learned that, without any realistic measurement of their worth, these efforts may have been counterproductive. Putting tactics before strategy never works… “ready, fire, aim” comes to mind.2. Marketers, in fact, will spend much more time determining whether their marketing communications tactics are working. Admitting that clicks don’t inherently lead to increased profitable revenue, they will establish strict measurement and ROI of digital marketing the same way they do with traditional marketing.3. Beyond a focus on the efficiency of an advertising medium, considerably more thought will be built into selecting a specific medium based on consumer trust of the medium. A recent study of 1,030 consumers by Clutch showed television/broadcast video as the advertising medium most trusted (61%) and social media and online mediums as the least trusted (38% and 41%, respectively). Trust of all mediums is strongest among millennials and weakest among baby boomers.4. There will be a focus on transitioning from a marketing specialist environment, to generalists who can integrate and lead these specialists into an ROI driven team (Korn Ferry). This will be challenging as there is a shortage of marketing talent with broad experience, leadership and capability that can gain the trust of specialists who work together for the brand and not their specialty.Using Consultants For Improving Marketing And Marketing Communications ROIMost probably you’ve already put a lot of hard work into developing your 2018 plan. But perhaps these forecasts have raised some questions and concerns that you may not have thought of, and perhaps you don’t have the experience, time or staff to address them. If you’re concerned about marketing, you’re not alone. In fact, Infusionsoft surveyed 1,000 small business owners and found that nearly two-thirds feel that they “don’t know if their marketing strategies work” or “know that their strategies aren’t working”. So, what can you do?Consider tapping into an established, media neutral consultancy or person, with broad experience across industries, companies and nonprofits, both large and small, who are also willing to “tell it like it is”. Don’t settle for someone selling you one particular marketing discipline or experience in just your niche or industry. What is needed in these complicated times is not a “this is the way we’ve always done it” mentality, but rather a broad view of your business and opportunities.Like trained accountants and lawyers, a marketing professional will bring you fresh eyes, apolitical candor and a disciplined approach to today’s uncertain and untrusting marketing environment. Trust is the new black, and a knowledgeable consultant can help you build a meaningful and profitable business.But remember, “Ideas are a dime a dozen. People who put them into action are priceless.”

The world is already passing through a period of global economic recession & hit by an economic down time. Most of the business owners are now looking for cheaper alternatives to online marketing that will promote their site successfully. What could be more effective than cheap SEO services which will bring their sites cheap publicity & help them save valuable advertising dollars? In fact the initiation of search engine optimization has brought new hopes for every small to medium sized business & helps them skyrocket their profit. But online advertising & marketing of a site involves high cost & it can be brought down successively through hiring of affordable SEO services from reliable companies. However, website owners usually have to face a great difficulty in finding cheap search engine optimization companies with a record of quality SEO services.Browsing through the web world will help you come across many cheap search engine optimization companies that can provide quality SEO for your online business promotion. These affordable SEO companies offer both on-page & off-page optimization service & will develop a suitable marketing strategy for your online business growth. They are not just cheap SEO services providers but prompt in handling projects of any size & complexity. They stay committed to make the benefits of online marketing available to every budget range. That’s why they offer affordable SEO packages with potential for high revenue generation.Most of the cheap search engine optimization services companies design their SEO packages based upon the varying marketing needs of customers. The basic features of online marketing are included in these cheap SEO packages so that customers can freely choose from them the one that comes within their budget. These cheap SEO companies also act upon the simple principle of cost-effective optimization services to draw the attention of maximum clients.The newly starting businesses often struggle with their tight budget & invest less in advertising. The cheap SEO Services & plans seem to be a better option for them. Again affordable SEO services help those having no idea on search engine optimization to reap better dividends. The professional SEO companies are found charging high for optimization service & it distracts a great many number of customers from approaching them. Their attention ultimately gets diverted towards affordable SEO providers who can help them get online exposure at affordable price. Sometimes they may feel happy to get SEO consultancy in association with the affordable SEO services.The affordable SEO companies will work closely with your company to decide upon the suitable cheap SEO plan. Most of the time cheap SEO services are found to have features common to basic search engine optimization plans as designed by top SEO companies. That’s how you may create brand awareness much faster & for much less price. The recently launched SEO companies use the trick of cheap SEO packages to grow in popularity & increase its client base. Those looking for cheap SEO deals in market are many & cheap SEO packages lure them to a great extent. The standard of SEO services provided by affordable SEO companies are not the same. It is you who will consider all the above given options & decide the cheap search engine optimization deal best for your business.

Are you neglecting to deduct business expenses on your tax return?You could be leaving money on the table. Whether you’re an established entrepreneur or just setting up shop, you can save thousands of dollars in tax deductions. So which expenses qualify? To receive a tax deduction, business expenses must be necessary and typical for the type of business you run.There are exceptions to the rule. You can’t write off speeding or parking tickets. But don’t let this stop you from saving serious money on your tax return. Place those dollar bills back into your wallet by adding these commonly overlooked business expenses to the list.1. Costs to Keep Your Business RunningAs you maintain your business, you’re bound to purchase office supplies and advertising. But did you know that you can also write off equipment repair, business calls, and office furniture payments?There are limits though.
If your business goes under, you can’t deduct costs for exploring a business opportunity. But you can deduct costs for products, materials, and supplies in your inventory.
You also can’t completely deduct costs from starting your business. Instead, you can deduct up to $5,000 the first year and write off any remaining startup costs periodically over the course of 15 years.
Every cent you invest into your business is referred to as either a capital expense or a current expense.
Capital expenses are your business asset purchases, long-lasting equipment that will continually improve your business in subsequent years. Because capital expenses normally don’t wear out after the first year, these expenses are depreciated and deducted over a period of time.Current expenses are charges for equipment or services used every day to maintain a profitable business. They’re normally used up in the first year, so you can deduct the total cost of current expenses on your tax return.
Repairs that add value to equipment, prolong the lifespan, or adapt an item to a different use can be deducted on your tax return.
Advertising fees to create promotional materials like business cards and print, radio, yellow pages, and banner advertisements are completely deductible.
If you regularly use the phone to call clients or customers, you can deduct charges relevant to your business.
Be forewarned though: if you try to mask personal purchases by claiming them as business expenses, you might be in deep waters when your tax return triggers an audit.2. Home Office Fees and RentDo you work from home? Deduct a portion of rent, insurance, and utility payments if you have an office that is dedicated to business.There is one drawback. Your office has to be exclusively for business use.It’s fine to work in your slippers, but you can’t take a home office deduction if your bed is in the room unless your office is sectioned off. You also can’t let your children play Legos in your workspace. And you most certainly can’t watch TV in your office during downtime.If you do, your office won’t be considered exclusively for business.You also have to use your office consistently to take advantage of the home office deduction. Feel free to call clients, bill customers, take notes, set appointments, meet with clients, order materials, or write reports in your office. But an office that you only use occasionally doesn’t count.There are exceptions to the rule. If you run a daycare business or you have a room set up for inventory storage, you can still take the deduction even if the room isn’t used 100% for business.3. Auto PaymentsDid you know that you can deduct the cost of gas consumed while driving to and from client meetings?Whether you own a real estate business, regularly meet with clients, or rent an office away from home, you can save hundreds of dollars on your tax return.Use your car for business? You can calculate your deduction one of two ways.
Deduct based on the standard mileage rate. If your regular business routine requires that you constantly be on the road, you might be able to save more by deducting a certain amount of money after every mile driven, along with toll and parking costs.
Deduct actual expenses. If you occasionally meet with clients or your car consumes more gas than average, you can save a great deal more by deducting a portion of expenses for gas, replacement tires, oil changes, insurance, and car registration.
Always keep an organized record of your car usage, and filing your federal and state income taxes will be as simple as doing a few math calculations.4. Travel and Entertainment CostsDo you remember that vacation deal you purchased right before your last business trip?Write off a portion of your plane fare, depending on how you spent your vacation. Part of your transportation costs is qualified as a deduction if over half of your trip was spent on business. The more time you devoted to your business, the higher the deduction.Needed to pay for clean clothes while you were away? You can deduct laundry and dry cleaning expenses. You can also deduct commuting costs, lodging fees, tips, fax charges, and costs to ship product samples and display materials.Moreover, if you’ve ever hosted an event for your business at your office, restaurant, or another location, you can deduct entertainment expenses that helped promote business growth or well-being. Keep in mind that only 50% of meals are deductible.You can even deduct moving costs if you had to relocate your home because of work. If the move wasn’t directly related to your business though, you can’t claim the deduction.5. Educational Materials and Professional FeesHave you purchased a book to learn a skill that would directly impact your business? How about that copywriter you hired to craft a sales page that would later transform a product launch into a massive success?Business-related books, legal fees, and professional services are all fully deductible on your tax return.You’re not just limited to books and independent contractors though. If you pay an accountant or purchase a tax program every year, you can deduct tax preparation fees.Own a business with hired staff? You can reduce taxes by deducting salaries, bonuses, and fringe benefits like health insurance and sick leave.6. Bad DebtsIf you sell your own services, you’ve likely stumbled across an occasional troublesome client. Your client might refuse to pay you for work performed, lowering your profit margin for the month. Maybe you’ve even loaned money to customers or suppliers, but the loan was never paid off.Luckily, this income loss is completely deductible as long as you provide written documentation stating the amount of the debt, interest rate if applicable, and the steps you took to collect the debt. If you can prove that you’ve made several attempts to receive payment and the debt is impossible to collect, you can write it off on your tax return.Save your hard-earned cash at the end of the year by keeping a detailed record of business-related purchases and activities. You can use financial software to help with this, but simply opening an excel spreadsheet to jot down expenses as they pop up works as well.Separate payments into clearly marked categories and you’ll save both time and money the next time you file taxes.7. The Hummer DeductionHas your business purchased a car or a large machine recently? This can be converted into a large tax benefit using “The Hummer Deduction”, also know as section 179 of the tax code. Learn MoreDisclaimer: You should consult with your tax advisor before following any of the ideas in this article. This article is a starting point for discussion with your advisor. I am not a tax professional and while I believe that what is contained in this article is generally true, it may not be true in your particular case.

Your Lifestyle, Your TVWith the choices now available for entertainment centers, choosing the TV furniture that suits all aspects of your lifestyle has never been this easy. From wall units for compact living spaces to really modern entertainment centers for the techno-savvy, shopping for TV stands is now as exciting as fashion bargain-hunting for the stylish women or car shopping for the auto-fanatic men.So what are these choices for your dream entertainment center? Let’s check it out one by one.TV Armories: Furniture and TV in OneGone were the days when armories are mainly used for wardrobe storage. This piece of furniture is now fast becoming a living room favorite.Those who opt for the more formal look, armories are ideal. Among the great features of entertainment or TV armories are:
Your TV, component, and other entertainment equipment can be installed in just one place.
A great storage for electronic accessories and media component accessories. No need to spend time looking for that remote control, microphone, or connecting cables. They’re all in there!
Can be used to put life in an otherwise boring living room or bedroom. Remember, it’s also a piece of furniture.
Popular choices for armories are hardwood, as these are considered classic and durable.This choice is appropriate for big houses and for families living in the country or villa.Corner Units: Maximized SpaceCorner units are ideal for those with small living spaces such as condos and apartments. Who says that you need to have a vast space in order to have your own entertainment center?Moving in to that chic yet compact condo? Consider a corner unit as your entertainment furniture.Modern TV stands such as plasma TV stands are ideal for corner entertainment centers since most of these stands are designed really for city living. What’s interesting is despite the tight space, these units can pack in all your gadgets and TV accessories. Cool!Entertainment Wall Units: Your Wall like Never BeforeThanks to modern wall units, the plain white wall has become more animated (forget your grandma’s dusty painting and old framed photos. It’s the 21st century!).Entertainment wall units like armories are also great furniture that completes the look of your living room or bedroom. Most units are comprised of several pieces combined to form single furniture, the TV, being the focus. Like the other options mentioned, it also stores the different entertainment accessories.Side by Side Units: A No-nonsense OptionSome people who opt for utility and ease choose side by side entertainment units. These units, usually of around 60″ width functions both as storage and furniture, with the TV on one side and cabinets for the components and accessories on the other. The modern versions of the side by side units even include other appliances such as TV and fridge side by side.TV furniture has indeed come a long way… entertainment, storage, home furnishing all in one to suit all tastes and lifestyle.

Nowadays, the professionals working full time for companies around the world are also considering the passive income opportunities online! It seems everyone has started thinking about personal finance in a whole new way. The reason behind this is perhaps the booming of commerce on the internet. Every big business company has a strong online presence these days. Even the small and medium sized business companies have also started thinking about their venture on the World Wide Web. This spread is actually creating endless opportunities for anyone who’s interested to try their luck on making money online. Let’s discover why and how a professional can also think about establishing money making businesses online.Is it possible for an employee to continue his job and run passive income businesses online?The answer to this question is clearly a big – YES! Anyone can start his own venture on the World Wide Web anytime he wants! The only thing he’ll need is dedication and interest towards the concept. Let’s discover the top 5 reasons why it’s a great idea for an employee to try out the passive income generators online!#1 You Can Work Anytime, AnywhereA passive income business online won’t need you to attend or open an office. You can literally work anytime, anywhere you prefer. Nothing can be better for a professional than this flexibility. You can actually think about professional freedom; you don’t have to hamper your personal or corporate life, but you can still be a successful entrepreneur with a passive income business online.#2 You Can Work At Your Own PaceWell, this is another benefit of having an established passive income business online. You can work at your own pace. If you’re running short of time, you always have the opportunity to extend the deadline. You can set your own target and achieve your own goals. None will ask you if you fail to achieve, and there’s no-one who will take the major portion away from your profit!#3 You Can Think About Experimenting And Testing Your SkillsWell, for any professional, testing and experimenting his own skills is extremely important. He should always stay updated about the current incidences around the world. This helps his skills and expertise grow continuously. Without this, a professional cannot even achieve in his professional life. A passive income business lets him get and stay on the track and helps him improve consistently.#4 You Can Quit The Job And Be Your Own Boss With This!Finally, you can think about the ultimate freedom! Yes, you got it right; having an established passive income will allow you to quit the job and be your own boss. Every employee on this planet has the same dream to be his own boss. A passive income business online will simply open the door of opportunities for you. You can think about developing your business in different directions and become an entrepreneur instead of an employee for someone else!

Human desires are unlimited and vary from time to time. One tends to fulfill them by spending his or her savings or borrowing money from the market. Savings imply the reserve that has been built by cutting the expenses; it shows the hard earned money saved over a period of time. There is no need to use your savings to meet personal needs which can be met by borrowing from outside and that too at low cost. It is always advised to keep savings in reserve they can be of great help when you get into a financial crisis in future, which can happen to anyone. Keeping all these things in consideration, one can borrow a personal loan to meet his or her personal needs.Cheap personal loans indicate that a personal loan is arranged at reasonable price. The aim of this loan is to meet the varied personal needs of UK residents which may range from buying a home, a luxurious car or to start up a new business.In the present era, the UK loan market is flooded with infinite number of personal loans. The question here arises is how to find a cheap personal loan that is best suited to your personal financial circumstances. It is not easy to find the best cheap personal loan but it is not impossible, a well planned thorough search can help you get one.First of all, decide which loan to borrow. A personal loan can be a secured or an unsecured one. Secured personal loan require a borrower to put collateral against the amount borrowed. Collateral can be in the form of a car, house, savings account or any property. You can borrow a larger amount of loan with a longer repayment term. Home or property owners can apply for this loan. Remember to put the collateral with the highest value to grab big amount of loan and that too at low interest rate.Tenants need not be anxious; an unsecured loan is tailored to meet your personal needs. An unsecured personal loan does not require a borrower to put collateral against the loan. Homeowners can also enjoy the benefit of unsecured loans, keeping themselves away from the risk of repossession of property that exists in the case of secured loans.Once you decide which loan to borrow, search for borrowers who can lend you that particular loan. In the past, there were limited number of traditional lenders such as banks and financial institutions who could offer very few loan options. But, the entry of online lenders in the finance market has made a tremendous change in the whole borrowing process. A borrower can access infinite number of lenders from the same place. Online process of applying for a loan is easy and simple. Borrowers are no longer required to stand in queue to submit his or her application process. One just needs to fill up a small online application form with some personal details and the lenders will get back to you with the in-principle loan decision.The next thing you need to do is to collect loan quotes from several lenders who can lend you the loan you are looking for. Compare the loan quotes on the basis of interest rate, loan term, repayment options and evaluate the whole cost of borrowing. You can seek for expert’s advice which will help in finding a cheap personal loan.You need to look into one more important area that is your credit score. If you have a good credit score, it becomes easier to get a personal loan at low interest rate with flexible repayment options.People with bad credit rating such as CCJs or bankruptcy can also borrow a personal loan but it is usually available at higher rate of interest to them. A systematic research can help you too, to get a personal loan at reasonable price.If the above mentioned points are kept in mind then it will become easier for you to get a cheap personal loan that matches perfectly with your individual circumstances. What it takes to find a cheap personal loan is the willingness to do research and the dedication to keep searching until you get the best one.

Are you someone who wants to buy a new automobile but you cannot seem to scrape the finances together to do it? If so then you are not alone as there are many people out there who are in the same boat and they just do not know what options are available to them. Luckily enough, you may be able to qualify for an auto loan that will lend you the money to get the car that you want.When it comes to getting an auto loan, it can be a stressful task trying to find one that gives you the best deal possible. A lot of people out there may not have the first idea where to start and they may end up just settling with the first auto loan that they see. A great way to do this is to apply for an online auto loan, as the benefits include the fact that it can be done from the comfort of your own home and it is usually fairly quick and simple too.How can you compare online auto loans?The beauty of the internet is that it often makes it easier to find companies that offer auto loans. There are many auto loan comparison websites out there that will allow you to enter your details and then they bring up companies which may be able to offer you this type of loan.By comparing each company and their rates, you can then see which one would be best suited to you. This makes looking for this type of loan a lot easier than going into a lot of companies direct and sometimes they may have deals online that they may not have anywhere else. The beauty of it all is that by applying online, you can usually get a quick decision and you do not have to deal with people giving you a sales pitch and everything else that goes along with it.If you see a loan that you like, before you agree to everything make sure that you understand the plan thoroughly. This is because the deal and the rates may be enticing, but there could be hidden charges that you are not fully aware of. Also with each auto loan, make sure that you consider all of the options and discuss the pros and the cons with each.As well as knowing how much you want to borrow, you need to consider about the interest rates and how long you will be repaying it back for. As well as this, you will also need to consider whether you need to take out a payment protection option with the auto loan as this will bump up the charges even further if you do.But one danger here that many consumers are not aware of – you should not go to a whole bunch of auto loan places and apply for a loan within a short period of time. What happens is that in order to process your loan request, they will pull a credit report on you, and that fact will be recorded by the credit reporting bureaus. If you have a lot of credit inquiries for a loan on your credit report over a short period of time, this is a warning sign to lenders and you may not get the best rate possible, so use a certain amount of discretion instead of applying to each and every one that you find.So if you are considering getting an online auto loan, it is a good idea to compare all of the loans out there and then see which one will be best suited to you. Make sure that you shop around for the best deals on the internet, but you should also consider the fact that an online auto loan may not be the best option all of the time. This is why you should consider every option that is out there to make sure that you are making the right decision for you.

Key Insights
The strong pullback in the U.S. dollar provided significant support to stocks.
Treasury yields have pulled back after touching new highs, which served as an additional positive catalyst for S&P 500.
A move above 3730 will push S&P 500 towards the resistance level at 3760.
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Pfizer Rallies After Announcing A Huge Price Hike For Its COVID-19 Vaccines
S&P 500 is currently trying to settle above 3730 as traders’ appetite for risk is growing. The U.S. dollar has recently gained strong downside momentum as the BoJ intervened to stop the rally in USD/JPY. Weaker U.S. dollar is bullish for stocks as it increases profits of multinational companies and makes U.S. equities cheaper for foreign investors.

The leading oil services company Schlumberger is up by 9% after beating analyst estimates on both earnings and revenue. Schlumberger’s peers Baker Hughes and Halliburton have also enjoyed strong support today.

Vaccine makers Pfizer and Moderna gained strong upside momentum after Pfizer announced that it will raise the price of its coronavirus vaccine to $110 – $130 per shot.

Biggest losers today include Verizon and Twitter. Verizon is down by 5% despite beating analyst estimates on both earnings and revenue. Subscriber numbers missed estimates, and traders pushed the stock to multi-year lows.

Twitter stock moved towards the $50 level as the U.S. may conduct a security review of Musk’s purchase of the company.

From a big picture point of view, today’s rebound is broad, and most market segments are moving higher. Treasury yields have started to move lower after testing new highs, providing additional support to S&P 500. It looks that some traders are ready to bet that Fed will be less hawkish than previously expected.

S&P 500 Tests Resistance At 3730

S&P 500 has recently managed to get above the 20 EMA and is trying to settle above the resistance at 3730. RSI is in the moderate territory, and there is plenty of room to gain additional upside momentum in case the right catalysts emerge.

If S&P 500 manages to settle above 3730, it will head towards the next resistance level at 3760. A successful test of this level will push S&P 500 towards the next resistance at October highs at 3805. The 50 EMA is located in the nearby, so S&P 500 will likely face strong resistance above the 3800 level.

On the support side, the previous resistance at 3700 will likely serve as the first support level for S&P 500. In case S&P 500 declines below this level, it will move towards the next support level at 3675. A move below 3675 will push S&P 500 towards the support at 3640.

Summary
SPDN is not the largest or oldest way to short the S&P 500, but it’s a solid choice.
This ETF uses a variety of financial instruments to target a return opposite that of the S&P 500 Index.
SPDN’s 0.49% Expense Ratio is nearly half that of the larger, longer-tenured -1x Inverse S&P 500 ETF.
Details aside, the potential continuation of the equity bear market makes single-inverse ETFs an investment segment investor should be familiar with.
We rate SPDN a Strong Buy because we believe the risks of a continued bear market greatly outweigh the possibility of a quick return to a bull market.
Put a gear stick into R position, (Reverse).
Birdlkportfolio

By Rob Isbitts

Summary
The S&P 500 is in a bear market, and we don’t see a quick-fix. Many investors assume the only way to navigate a potentially long-term bear market is to hide in cash, day-trade or “just hang in there” while the bear takes their retirement nest egg.

The Direxion Daily S&P 500® Bear 1X ETF (NYSEARCA:SPDN) is one of a class of single-inverse ETFs that allow investors to profit from down moves in the stock market.

SPDN is an unleveraged, liquid, low-cost way to either try to hedge an equity portfolio, profit from a decline in the S&P 500, or both. We rate it a Strong Buy, given our concern about the intermediate-term outlook for the global equity market.

Strategy
SPDN keeps it simple. If the S&P 500 goes up by X%, it should go down by X%. The opposite is also expected.

Proprietary ETF Grades
Offense/Defense: Defense

Segment: Inverse Equity

Sub-Segment: Inverse S&P 500

Correlation (vs. S&P 500): Very High (inverse)

Expected Volatility (vs. S&P 500): Similar (but opposite)

Holding Analysis
SPDN does not rely on shorting individual stocks in the S&P 500. Instead, the managers typically use a combination of futures, swaps and other derivative instruments to create a portfolio that consistently aims to deliver the opposite of what the S&P 500 does.

Strengths
SPDN is a fairly “no-frills” way to do what many investors probably wished they could do during the first 9 months of 2022 and in past bear markets: find something that goes up when the “market” goes down. After all, bonds are not the answer they used to be, commodities like gold have, shall we say, lost their luster. And moving to cash creates the issue of making two correct timing decisions, when to get in and when to get out. SPDN and its single-inverse ETF brethren offer a liquid tool to use in a variety of ways, depending on what a particular investor wants to achieve.

Weaknesses
The weakness of any inverse ETF is that it does the opposite of what the market does, when the market goes up. So, even in bear markets when the broader market trend is down, sharp bear market rallies (or any rallies for that matter) in the S&P 500 will cause SPDN to drop as much as the market goes up.

Opportunities
While inverse ETFs have a reputation in some circles as nothing more than day-trading vehicles, our own experience with them is, pardon the pun, exactly the opposite! We encourage investors to try to better-understand single inverse ETFs like SPDN. While traders tend to gravitate to leveraged inverse ETFs (which actually are day-trading tools), we believe that in an extended bear market, SPDN and its ilk could be a game-saver for many portfolios.

Threats
SPDN and most other single inverse ETFs are vulnerable to a sustained rise in the price of the index it aims to deliver the inverse of. But that threat of loss in a rising market means that when an investor considers SPDN, they should also have a game plan for how and when they will deploy this unique portfolio weapon.

Proprietary Technical Ratings
Short-Term Rating (next 3 months): Strong Buy

Long-Term Rating (next 12 months): Buy

Conclusions
ETF Quality Opinion
SPDN does what it aims to do, and has done so for over 6 years now. For a while, it was largely-ignored, given the existence of a similar ETF that has been around much longer. But the more tenured SPDN has become, the more attractive it looks as an alternative.

ETF Investment Opinion

SPDN is rated Strong Buy because the S&P 500 continues to look as vulnerable to further decline. And, while the market bottomed in mid-June, rallied, then waffled since that time, our proprietary macro market indicators all point to much greater risk of a major decline from this level than a fast return to bull market glory. Thus, SPDN is at best a way to exploit and attack the bear, and at worst a hedge on an otherwise equity-laden portfolio.

Your stocks to watch for the week ahead are Cheniere Energy (LNG), S&P 500 biotech giant Vertex Pharmaceuticals (VRTX), Cardinal Health (CAH), Steel Dynamics (STLD) and Genuine Parts (GPC).

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While the market remains in correction, with analysts and investors wary of an economic downturn, these five stocks are worth adding to watchlists. S&P 500 medical giants Vertex and Cardinal Health have been holding up, as health-care related plays tend to do well in down markets.

Steel Dynamics and Genuine Parts are both coming off strong earnings as both the steel and auto parts industries report optimistic outlooks. Meanwhile, Cheniere Energy saw sales boom in the second quarter as demand in Europe for natural gas continues to grow.

Major indexes have been making rally attempts with the Dow Jones and S&P 500 testing weekly support on Friday. With market uncertainty, investors should be ready for follow-through day breakouts and keep an eye on these stocks.

Cheniere Energy, Cardinal Health and VRTX stock are all on IBD Leaderboard.

Cheniere Energy Stock
LNG shares rose 1.1% to 175.79 during Friday’s market trading. On the week, the stock advanced 3.1%, not from highs, bouncing from its 21-day and 10-week lines earlier in the week.

Cheniere Energy has been consolidating since mid-September, but needs another week to forge a proper base, with a potential 182.72 buy point formed on Aug. 10.

Houston-based Cheniere Energy was IBD Stock Of The Day on Thursday, as the largest U.S. producer of liquefied natural gas eyes strong demand in Europe.

Even though natural gas prices are plunging in the U.S. and Europe, investors still see strong LNG demand for Cheniere and others.

The U.K. government confirmed last week that it is in talks for an LNG purchase agreement with a number of companies, including Cheniere.

In the first half of 2021, less than 40% of Cheniere’s cargoes of LNG landed in Europe. That jumped to more than 70% through this year’s second quarter, even as the company ramped up new export capacity. The urgency of Europe’s natural gas shortage only intensified last month. That is when an explosion disabled the Nord Stream 1 pipeline from Russia that had once supplied 40% of the European Union’s natural gas.

In Q2, sales increased 165% to $8 billion and LNG earned $2.90 per share, up from a net loss of $1.30 per share in Q2 2021. The company will report Q3 earnings Nov. 3, with investors seeing booming profits for the next few quarters.

Cheniere Energy has a Composite Rating of 84. It has a 98 Relative Strength Rating, an exclusive IBD Stock Checkup gauge for share price movement with a 1 to 99 score. The rating shows how a stock’s performance over the last 52 weeks holds up against all the other stocks in IBD’s database. The EPS rating is 41.

Vertex Stock
VRTX stock jumped 3.4% to 300 on Friday, rebounding from a test of its 50-day moving average. Shares climbed 2.2% for the week. Vertex stock has formed a tight flat base with an official buy point of 306.05, according to MarketSmith analysis.

The stock has remained consistent over recent weeks, while the relative strength line has trended higher. The RS line tracks a stock’s performance vs. the S&P 500 index.

Vertex Q3 earnings are on due Oct. 27. Analysts see EPS edging up 1% to $3.61 per share with sales increasing 16% to $2.2 billion, according to FactSet.

The Boston-based global biotech company dominates the cystic fibrosis treatment market. Vertex also has other products in late-stage clinical development that target sickle cell disease, Type 1 diabetes and certain genetically caused kidney diseases. That includes a gene-editing partnership with Crispr Therapeutics (CRSP).

In early August, Vertex reported better-than-expected second-quarter results and raised full-year sales targets.

S&P 500 stock Vertex ranks second in the Medical-Biomed/Biotech industry group. VRTX has a 99 Composite Rating. Its Relative Strength Rating is 94 and its EPS Rating is 99.

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Cardinal Health Stock
CAH stock advanced 3.2% to 73.03 Friday, clearing a 71.22 buy point from a shallow cup-with-handle base and hitting a record high. But volume was light on the breakout. CAH stock leapt 7.3% for the week.

Cardinal Health stock’s relative strength line has also been trending up for months.

The cup-with-handle base is part of a base-on-base pattern, forming just above a cup base cleared on Aug. 11.

Cardinal Health, based in Dublin, Ohio, offers a wide assortment of health care services and medical supplies to hospitals, labs, pharmacies and long-term care facilities. The company reports that it serves around 90% of hospitals and 60,000 pharmacies in the U.S.

S&P 500 stock Cardinal Health will report Q1 2023 earnings on Nov. 4. Analysts forecast earnings falling 26% to 96 cents per share. Sales are expected to increase 10% to $48.3 billion, according to FactSet.

Cardinal Health stock ranks first in the Medical-Wholesale Drug/Supplies industry group, ahead of McKesson (MCK), which is also showing positive action. CAH stock has a 94 Composite Rating out of 99. It has a 97 Relative Strength Rating and an EPS rating of 73.

Steel Dynamics Stock
STLD shares shot up 8.5% to 92.92 on Friday and soared 19% on the week, coming off a Steel Dynamics earnings beat Wednesday night.

Shares blasted above an 88.72 consolidation buy point Friday after clearing a trendline Thursday. STLD stock is 17% above its 50-day line, definitely extended from that key average.

Steel Dynamics’ latest consolidation could be seen as part of a larger base going back six months.

Steel Dynamics topped Q3 earnings views with EPS rising 10% to $5.46 while revenue grew 11% to $5.65 billion. The steel producer’s outlook is optimistic despite weaker flat rolled steel pricing. STLD reports its order activity and backlogs remain solid.

The Fort Wayne, Indiana-based company is among the largest producers of carbon steel products in the U.S. It engages in metal recycling operations along with steel fabrication and produces myriad steel products.

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STLD stock ranks first in the Steel-Producers industry group. STLD stock has a 96 Composite Rating out of 99. It has a 90 Relative Strength Rating, an exclusive IBD Stock Checkup gauge for share-price movement that tops at 99. The rating shows how a stock’s performance over the last 52 weeks holds up against all the other stocks in IBD’s database. The EPS rating is 98.

Genuine Parts Stock
GPC stock gained 2.8% to 162.35 Friday after the company topped earnings views with its Q3 results on Thursday. For the week GPC advanced 5.1% as the stock held its 50-day line and is in a flat base.

GPC has an official 165.09 flat-base buy point after a three-week rally, according to MarketSmith analysis.

The relative strength line for Genuine Parts stock has rallied sharply to highs over the past several months.

On Thursday, the Atlanta-based auto parts company raised its full-year guidance on growth across its automotive and industrial sales.

Genuine Parts earnings per share advanced 19% to $2.23 and revenue grew 18% to $5.675 billion in Q3. GPC’s full-year guidance is now calling for EPS of $8.05-$8.15, up from $7.80-$7.95. The company now forecasts revenue growth of 15%-16%, up from the earlier 12%-14%.

During the Covid pandemic, supply chain constraints caused a major upheaval in the auto industry, sending prices for new and used cars to record levels. This has made consumers more likely to hang on to their existing vehicles for longer, driving mileage higher and boosting demand for auto replacement parts.

Fellow auto stocks O’Reilly Auto Parts (ORLY) and AutoZone (AZO) have also rallied near buy points amid the struggling market. O’Reilly reports on Oct. 26.

IBD ranks Genuine Parts first in the Retail/Wholesale-Auto Parts industry group. GPC stock has a 96 Composite Rating. Its Relative Strength Rating is 94 and it has an EPS Rating of 89.