SPEAKER_00 0:00

Welcome to the Fletcher Friday Report. Today is Friday, July 10th, 2026. Fletcher is an investment algorithm I created with simple monthly signals buy, hold, and sell. Today we'll look at Fletcher compared to the SP 500. I'll also share a few random thoughts about Fletcher and the market in general. Let's get started. Before we get into the usual numbers, I thought I'd talk a little bit about the market in general and Fletcher this week. Fletcher this week is up despite all the volatility and choppiness. And I start watching the news, I start second-guessing myself, I start wondering is Fletcher really going to perform like I've designed it to perform. And just as an insight into me, I'm fickle. I'm emotional. So all the reason for using Fletcher for myself as it does take out the emotional component. And with so much going on in the past couple of weeks, there's been quite a bit of a sell-off. I did get curious about the 52-week highs on what we are currently invested in. So currently, Fletcher has four positions. And as a side note, six is the max. And a couple of the four positions currently are about 20% off of their highs. So that's happened in the last three weeks or so. When you start looking at the year-to-date numbers, that's where I really have a lot more comfort. And it just helps me relax a little bit. The market in general has been turbulent, I guess. You know, you could say that there's been a lot of choppiness, a lot of news going back and forth, but I was kind of surprised to look at what the results were for the past week. Sort of mixed. The Dow was down less than 1%. NASDAQ was up almost 2%. SP up around 1%. And Fletcher was just in the 1% range. So I would call that kind of a flat market, but it's nice that it's not something dramatic like down 5%. I'm always happy to look for some optimism in these numbers. Before we get into the numbers for the week, I wanted to make a little note and a correction about the numbers last week. I inaccurately reported our performance last week, and it was actually better than I reported, so I guess that's good. And part of that I wanted to take a moment and look at how the first half of the year has gone. The first six months of the year, we had one month that was negative four percent. So that was the worst month of the past six months. The best month was January, and it was almost 44% for that month alone. Let's look at this week's numbers specifically. As mentioned earlier, Fletcher this week was up around 1%. The SP was hovering around a half percent. Since the first of the month, we are at about 6% for Fletcher, and the SP is a little bit over 1%. Year to date is where I really like to camp. Fletcher is up 185%, even with July being a negative so far of 6%. So we're off our high for the year, but at 185, I feel really good. And the SP has done great this year compared to other years, showing 11% for the year today. I like to take a moment and just look at the headlines for the week. As you've likely seen, AI spending seems to be top of the mind for those in the financial markets. Computing power, chips, energy, infrastructure. There's a lot of money being spent. There's a lot of headlines about AI and a lot of concerns. So it'll be interesting to see how that plays out. The other thing that I've seen in the news, as you probably have as well, is just oil and Iran and what seems to be going on there. And it seems to affect the markets almost daily. There's so much up and down happening with that environment out there. But all of this to say, none of this influences my actions or inaction each week. And Fletcher does not take these into consideration directly either. So it's interesting to watch. It's for me, I like to just see how the markets react, but I do try to stay away from my emotions when I see these things and let Fletcher do what it's designed to do. Kind of in the category of curiosity, is something else I like to do is every now and then just ask AI what's happening. And for clarity, Fletcher does not use AI. I personally use it just for fun, just to pacify my curiosity. And so I asked Gemini, not that Gemini needs to be the end-all for AI, just happened to be the one closest at the time when I asked the question. So I asked, over the last decade, what are the strongest months for the U.S. stock market? And July was what the answer was, with 80% of the time being positive. And the SP during the July timeframes has been positive, 2.5% to 3.3%, according to Gemini. It went on to further say that there are tricky months like August and September. And that got me intrigued. So maybe we'll explore that in a future Friday report. A couple of questions to share with you this week. And since we're talking a little bit about AI, one of the questions that comes up often is does Fletcher use AI? And as mentioned, no, it doesn't. But Fletcher is a series of theories I evaluated via back testing. So I would have an idea. And backtesting can be suspect. There are ways to manipulate backtesting. For me, my approach was to blindly plug in the data, run the theory, and see what backtesting produced. And I simply let the data tell the truth. And that's how Fletcher was born. Another question is how does Signals Day work? So the day that signals are sent is the first trading day of each month. And so it's once a month, and you basically get instructions on what to sell, what to hold, and what to buy. As mentioned earlier, there are no more than six positions at any time. So there's not a whole lot of rebalancing to do. And currently we are at four positions. And a target portfolio percentage/slash allocation is presented, and it might look like position A rebalance to 25%, position B sell 100%, position C rebalance 10%. So you basically get the rebalance target. The signals work for any size of portfolio or allocation of a portfolio. I've mentioned in past reports that I started with about one-third of my overall portfolio committed to Fletcher. And so it works with any size. I have one of my sons is actually using Fletcher for part of his portfolio, and he has about $10,000 committed. And I have one subscriber who told me they are working currently with about $600,000 in their Fletcher allocation. So it'll work with any size and it is self-directed. So you're able to do these things in your own brokerage account. Fletcher leaves all the control in your hands. That'll do it for this week. Thank you for listening today. I hope you're enjoying July so far. To learn more about the Fletcher algorithm, go to Fletcherinvestor.com. Have a great week, and let's connect again next Friday.