Wow I thoight for sure the market would mindlessly rally today. I'm quite surprised to actually see straightforward price action but I'm still hesitant to call this the real end of the road after being screwed over countless times in the past.
it's different this time because biotechs are still down 20% from all time highs i think when/if SPX is back down to 1500ish to retest 2000/2007 highs, IBB will be in the 100s
The Oct rally is exactly why it will be damn difficult to be a long term short if/when this market does start a real longer term downtrend...Besides the FANG's are acting like it's 98/99...
Now begins the levelling game because everyone is aware and probably plenty are waiting - which means others may be waiting for those who are waiting.
And it makes 2007/08 tame by comparison...I hadn't even remembered that the NDX had a very muted recovery from 03-08...and now the chart looks like the late 90's...
Aside from the NDX, so many other indicies have flattish 200day MA's...So I guess it could be argued that these are now very volatile trading ranges...
Yeah, very good point. I got a small boost to my performance this year in my 401k by getting out before the big drop. I didn't get back in until things had already started moving back up though, as I was expecting more of a drop to continue. So not as much as I hoped for, but nonetheless outperforming by about 5%.
Bonds barely got any bids today even though stocks got dumped hard, so it seems to me that the asset managers who dumped bonds for stocks have not capitulated, they are very comfortable with the stocks they bought at recent highs.