Correction Ending or Bear Beginning?
More wild swings and panic-like reactions to news feeds are whipsawing markets. Trivial geopolitical rumors causing panic attacks.
Up 380, down 280, then back up, then down again... daily swings - looks like bears taking control again and entering distribution phase.
This is the time in market cycle when pros unload their overpriced shares to amateurs and novice investors. Ten year old bull market...
Traders are selling into rallies on high volume. Seeing weak rallies on low volume - doesn't look good for the bull case.
Two scenarios here, if the breakout rally fails; retest the trend line and demonstrate a third peak of head & shoulders; will be a scary bad rough ride.
Or, more whipsaw trading laterally in a narrow range until trendline met - later this year or even in 2019. Not optimistic for a major breakout rally.
End of earnings season nigh- interest rates rising- Fed hike coming in June - more later this year; The Donald fighting China and N korea - stocks look risky now.
Earnings were really good - 80% reporting meet/beat the Street, but this is now discounted as 'best earnings ever- not likely to be repeated soon.'
Hope I'm wrong and we get a breakout over 25K but starting to look really shaky. Big break down could come any day.
Economic outlook now projecting recession in late 2019 or 2020. Stock market is a leading indicator- it will break first.
Up 380, down 280, then back up, then down again... daily swings - looks like bears taking control again and entering distribution phase.
This is the time in market cycle when pros unload their overpriced shares to amateurs and novice investors. Ten year old bull market...
Traders are selling into rallies on high volume. Seeing weak rallies on low volume - doesn't look good for the bull case.
Two scenarios here, if the breakout rally fails; retest the trend line and demonstrate a third peak of head & shoulders; will be a scary bad rough ride.
Or, more whipsaw trading laterally in a narrow range until trendline met - later this year or even in 2019. Not optimistic for a major breakout rally.
End of earnings season nigh- interest rates rising- Fed hike coming in June - more later this year; The Donald fighting China and N korea - stocks look risky now.
Earnings were really good - 80% reporting meet/beat the Street, but this is now discounted as 'best earnings ever- not likely to be repeated soon.'
Hope I'm wrong and we get a breakout over 25K but starting to look really shaky. Big break down could come any day.
Economic outlook now projecting recession in late 2019 or 2020. Stock market is a leading indicator- it will break first.