As we head into Q4 2023, it’s time to see where the money managers–aka. the smart money–are allocating their funds.

The 2022 stock market is a year most traders are happy to put behind them. As the saying goes, ‘in a bull market, everyone makes money, and in a bear market, nobody does.’

We are coming to the end of the year, and the markets have closely followed the three studies we outlined in the last blog. These are the studies that predicted the end-of-year rally.

There are three interesting studies we’ve been watching this year that outlined what the market might look like. So far, the market is following these studies, and it’s fascinating to watch them play out.

We’re now into the first two weeks of Q4, and we can analyze the Sector Rotation Model to see where the “smart” money is thinking about playing their cards.