Trump Mulls New Tax Cut for the Wealthy
At this stage, it should maybe come as little surprise that the Trump administration is eyeing a bold move when it comes to taxes. Last year's tax cut -- which featured a drop in rates across the board and a massive tax cut for corporations -- was seemingly not enough, as the Trump administration is now considering bypassing Congress to change how capital gains taxes are calculated.
This move is still early stages and has not even been formally proposed yet. But early reporting indicates that under the executive action, investors would be able to adjust the cost basis for their asset/stock for inflation when calculating their capital gain.
For example, if you bought a stock for $10,000 in 1980, and it grew to $80,000 today, under current law if you sold it you would have to pay capital gains taxes on the $70,000 gain. With the proposed new executive action, you could adjust the $10,000 'cost basis' for inflation, which at an annualized 3% rate would mean adjusting your cost basis up to $30,000 or so. That would mean your capital gain is now $50,000 instead of $70,000, which could mean about $3,000 in tax savings.
If the Trump administration decided to move forward, it would be by executive action and not a law on Congress, which also means that the next president could overturn it with the stroke of a pen. Even still, many experts say that Trump taking such an action would be subject to lawsuits and challenges, as many would dispute the US Treasury's ability to change a rule without an act of Congress.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
SCHW in -1.69% downward trend, sliding for three consecutive days on August 20, 2026
Moving lower for three straight days is viewed as a bearish sign. Keep an eye on this stock for future declines. Considering data from situations where SCHW declined for three days, in of 272 cases, the price declined further within the following month. The odds of a continued downward trend are .
Technical Analysis (Indicators)
Bearish Trend Analysis
The RSI Indicator demonstrated that the stock has entered the overbought zone. This may point to a price pull-back soon.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 18 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
SCHW broke above its upper Bollinger Band on August 14, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on July 27, 2026. You may want to consider a long position or call options on SCHW as a result. In of 88 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for SCHW just turned positive on August 21, 2026. Looking at past instances where SCHW's MACD turned positive, the stock continued to rise in of 46 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where SCHW advanced for three days, in of 318 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 270 cases where SCHW Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. SCHW’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 85, placing this stock slightly better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.421) is normal, around the industry mean (4.401). P/E Ratio (20.455) is within average values for comparable stocks, (21.328). Projected Growth (PEG Ratio) (1.129) is also within normal values, averaging (1.691). Dividend Yield (0.011) settles around the average of (0.032) among similar stocks. P/S Ratio (7.634) is also within normal values, averaging (17.980).
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