QE Infinity: What we've learned from previous easing experiments

Updated: Sep 19, 2020

Money printer printing dollars going brrrr

TL;DR: the Federal reserve has just printed $3tn and this is just the beginning of it. To buy with confidence halfway through a rebound, here’s TOGGLE AI’s 8 best bullish ideas, diversified across 8 different investing styles.

Animation of man upset about monetary stimulus

The Federal Reserve has embarked on the largest and fastest experiment of QE ever conducted. For context, this move is twice as large as QE1, or the same size as QE2 but pretty much conducted overnight.

Chart of total assets owned by the Federal Reserve

“...we put together a basket of our AI’s best ideas diversified by investing style”

Markets have been very volatile as they digested the counterbalancing consequences of a near-certain recession dampened by massive monetary stimulus. In risk-adjusted terms, S&P 500 experienced the sharpest move in its history...ever.

That’s what 12-standard deviations look like

Chart of surprise movements in the S&P 500

With a market that already rebounded half way, it is challenging to find stocks to own that feel on a solid footing. To achieve true diversification, we put together our best AI ideas varied by investing style, as opposed to sector or geography. Here are four bullish ideas for investors and four for traders.

Four bullish stocks for investors

Robert Half (RHI:NYSE) - supported by Strong EPS Revisions

Pingtan (PME: NASD) - supported by Deep Value

CoreCivic (CWX:NYSE) - supported by Extreme Dividend Yield

Kazar Life Science (KZR:NASD) - supported by Strong Expected Growth

Bullish stock chart

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Four bullish stocks for traders

Lamar Advertising (LAMR:NASD) - supported by Recovering Oversold Entry-Point

Caesarstone (CSTE: NASD) - supported by Deep Value

US Energy (USEG:NASD) - supported by Price Support Level

Monster Energy (MNST:NASD) - supported by Technical Analysis

Bullish stock chart for Monster Beverage

Whether markets experience a recovery or a complete reversal, these two baskets seek to stack the odds in favour of investors and traders, based on all available data to today.

Feeling bearish instead? Believe that the crash in oil shows what’s really waiting for us in the rest of 2020? Read What to sell when oil goes to -$40