Subject: I
Frankly, yes.
We already have all three major indexes in correction territory after having declined 10%.
Our Weekly Stochastic Indicator is saying that we could easily go down another 10% which would put the market in Bear territory.
So, yes, we are in a bear market.
But it ain't going to be pretty.
The market has dropped sharply over the last two weeks after making all time highs. The Weekly Stochastic Divergence indicator compares price action to price momentum and that flashed a bear signal several weeks ago.
The reason I say it isn't going to be pretty is that there are still lots of bull factors supporting the market. For example, this year should be the highest stock buybacks in history. That is a strong underpinning of buying that will come in particularly after dips in the market.
So look for a sharp rally soon, fail at the highs, then a move lower to new lows. In other words, a choppy bear market.
Thanks!
Good bear trading,
Courtney
P.S. I am putting our famous How To Profit From Bear Markets course on sale for 60% discount. Please read the ad below.
Post a Comment
Post a Comment