Reason for today's rally was talk on a relief bill that will 999999% pass sooner than later. It will not include any free $1200 bucks but what it will do is extend that unemployment benefit for many many many more months even though the unemployment rate is now at 6.7% which is still considered historically low. The extension of benefits and other free handouts will boost markets even higher. The catalyst after that is anyone's guess. Most likely it will be the continued free fed handouts into 2021 and beyond. https://www.cnbc.com/2020/12/15/cor...e-pelosi-moves-to-meet-about-relief-bill.html
Yup they really want people to work instead of opening accounts at RobinHood to play the stock market.
Exactly right. Tons of folks trapped at home bored with Netflix are trying trading, probably 99% long. This will end badly. Then will have a cry out for a relief bill for newbie traders losses.
Well going long is right. We are not going to be stuck in this pandemic forever. Eventually the economy will recover one way or another. No point missing this rally. And if everybody is long then there is no "ending badly" for the market.
FALSE! There was no hype to rally markets to infinity !!! Yesterday there was absolutely nothing special. There was no massive rally. YM was up 400 points only. Past few weeks, the YM day range was between 300 to 500 points. Also, yesterday day range was relatively small compare with the rally on 9 Nov 2020 where the range was 1700 points!.
Nasdaq .making consistent highs every single day and now the Russell 2000 is literally printing everyone money as that index is up over 20% in only a single month!!!!!!! Stocks are showing absolutely no sign of giving up.