Sell in May and go away doesn't seem like such a smart strategy in 2017.
While the old market adage has historically been an effective way to steer clear of the market's weakest months, that's not been the case so far this month. After all, the big S&P 500 hit new all-time highs on May 15, closing at a new high-water mark of 2,402.32. That's not just a mildly interesting one-off stat -- in the long-run, when the market makes new highs in May, it's generally an important buy signal for stocks.
Since the financial crisis of 2008, only two other years have brought on new all-time highs for the S&P 500 in May: 2013 and 2014. In both of those years, the remaining months of the calendar year have handed investors double-digit returns on a total returns basis. So, simply put, stocks look predisposed to charge higher from here.
To figure out which specific issues to focus on in the weeks ahead, we're turning to a new set of "Rocket Stocks" worth buying.
Rocket Stocks are our list of companies with short-term gain catalysts and longer-term growth potential. To find them, I run a weekly quantitative screen that seeks out stocks with a combination of analyst upgrades and positive earnings surprises to identify rising analyst expectations, a bullish signal for stocks in any market. After all, where analysts' expectations are increasing, institutional cash often follows. In the last 399 weeks, our weekly list of plays has outperformed the S&P 500's record-breaking run by 79.36%.
So, without further ado, here's a look at this week's Rocket Stocks.