Will be in a bear market very soon. As long as panic continues to grip the world there is no where to go but down. Should there be panic? Absolutely not. Just shows you how unprepared the world is and how pathetic our society is. There should be many more things to worry about than the cornavirus, the cornavirus should be at the very bottom of the list. Once these cases start dropping markets will be up 10% in a matter of weeks. But as long as panic and fear holds center stage markets will only know one direction and that is wayyyyyyy down......
they're just using the virus as an excuse to bring the market down. It's convient. They didn't have to make something else up. We all knew it was going down.
It (the virus) is definitely throwing shade. There is something much more important and insidious going on with interest rates and overall USD cash availability. And it's now wrapped up in addressing the virus. I don't subscribe to the conspiracy stuff... The virus shade is don't let a crisis go to waste.
It all leads to the dark side, this fear and panic. My God...Anyone remember how innocent the world was a mere 21 years ago when this shit was what everone was jonsing for? Oh, what a disappointment it turned out to be. But still exciting to look forward to! Now we look back and try to find solace in what Yoda had to say... and he was right! Turn those years back on!
The virus is not just an excuse. In asia, no one is eating out or watching movies, holding events, concerts, etc. Consumer spending is basically halted except for groceries. Many companies are forcing workers to use their paid or unpaid vacations right now. Exams and hiring are being delayed, further reducing economic activity. Italy wants to quarantine quarter of their population. The spread has already begun in the USA but no one wants to spend 3,000 dollars to check their cold like symptoms for COVID19 so it goes by unnoticed while quietly spreads around the community. They are now finally starting to test seriously. Yes, the death rate isn't as high as other similar viruses (MERS for e.g.) but it spreads fast and is strong enough to force people to stock up and stay home. If people aren't being productive and also not spending, doesn't matter how much money the fed pumps, because it just isn't circulating. It's not the death toll from the virus that's the problem (unless there are some serious mutations), but how much businesses are being affected as a result of it. It won't be a surprise to see some bankruptcy from airlines this year.
As a trader, all I like to know is how to trade this? Quoting the old robber baron, Baron Rothschild: Buy when there is blood in the streets.
%% Until we get to that point; may want buy inverse ETFs. Market is extended on downside ; may get more extended. Robber baron?? Just who did he rob??