Like i said the rally has been much much more amazing than the decline was

Discussion in 'Trading' started by hafez50, May 26, 2020.

  1. destriero

    destriero

    You've taken surfer's piker crown.
     
    #61     May 27, 2020
  2. MKTrader

    MKTrader

    The point is recoveries practically always take longer than corrections. That's been true throughout market history. There may be a few exceptions with 5-10% corrections (I believe Oct. 2014 was a case), but all bigger corrections/crashes take time to recover. SunTrader/Destitute (if they aren't the same person then my apologies, SunTrader) acted like this recovery was meaningless because the market didn't rise as fast as it crashed in March. It NEVER DOES. That sort of thing is important to know and is worth comparing to the past...at least if you want to make money.
     
    #62     May 27, 2020
    1957may10 likes this.
  3. SunTrader

    SunTrader

    There haven't been all that many 30% drops in the history of American equities, also considering trading started 150+ years ago.

    Correct yea 3 not 6 months.
     
    #63     May 27, 2020
  4. With this I agree. But dunno about how long recovery will take. Nobody knows, if somebody says like Obama former advisor it’s completely pos. Will be interesting time till eoy.
    One thing I’m sure we will recover.
     
    #64     May 27, 2020
  5. MKTrader

    MKTrader

    Right, the sample size is small but there were quite a few during the Great Depression and five (including this one) since 1970. If we extend it to say 15% corrections, I'm pretty sure the pattern holds. Corrections are faster than recoveries, sometimes by months, sometimes by many years.
     
    #65     May 27, 2020
  6. MKTrader

    MKTrader

    One thing is for sure--regardless of the administration, we're fighting every correction with more and more gasoline (lit by fire) now. We've gone from the occasional Greenspan Put to everything under the kitchen sink in 2008 (ZIRP, QE infinity, TARP, end of marked-to-market accounting, etc.) and another massive response to COVID. Not sure what all the unintended consequences will be, but cycles and volatility will both be exaggerated I'm pretty sure.
     
    #66     May 27, 2020
  7. SunTrader

    SunTrader

    Uhhh no me destriero are not one and the same but I take it as complement, not insult, for the mistaken comparison.
     
    #67     May 27, 2020
    destriero likes this.
  8. destriero

    destriero

    MK has never posted a run/blotter and lost whatever he had in the 2008 crash. WTF are you kidding...
     
    #68     May 27, 2020
  9. SunTrader

    SunTrader

    No argument there. My original point was about the cheerleaders. Not that it was taking longer for this mostly sideways recovery which may make new ATH's at some point soon to take place.
     
    #69     May 27, 2020
  10. Cuddles

    Cuddles

    Name a correction after a 30% drop where we've dumped as many trillions of dollars as quickly to prop it?
     
    #70     May 27, 2020