BEAR market has now been voiced by Donald J Trump when he said what's coming is waaay more than a Recession. Always nice to have Donald in my corner. https://www.zerohedge.com/political...utm_source=&utm_medium=email&utm_campaign=810
BEAR market's impact on the MIND and what it does to financial markets' participants During Wave 1 down of the new alleged or suspected BEAR leg: buy the dippers are out in force as usual, nothing has fazed them. Complacency is near 100%. What do they all have in common? They extrapolate an extant trend to infinity, never considering it can reverse and devastate them. They ignore the 2nd primary Rule of Trend. (1) Trends tend to continue (2) A Trend can reverse at any time without notice During Wave 1 down there are rallies and crashed and they start getting confused but are still steadfast relatively speaking in their belief that the BULL is still alive and soon will take out the Top. This notion of the Bull still alive is confirmed in their minds when a Minor Wave 2 rally gets underway like we have seen since June 16. They come out in force and proclaim, BEAR is dead, buy, buy, buy" And they get validated as the days and weeks go by because in Wave 2 up its as if the sheer optimism of the alltime high is repeating itself and often can exceed that of the Top in terms of sheer Glee. This goes on for days/weeks/ and they jump right back in LONG. The goal of the train engineer is to get as many as possible on board once again. Then, at anywhere between 38.2% - 61.8% retracement of Wave 1, all of a sudden and without warning, Wave 2 up terminates and the baton is handed over to Wave 3 down. DEATH of the masses begins. they get hammered by the massive gapdowns and fast acceleration to the downside. By the time sub-wave 1 of Wave 3 down is over they are so terrified that they proclaim, "something is terribly wrong" BEAR continues and continues down, down, down, until 5 full waves are completed. This is the WAVE TECHNOLOGY method of depicting the BEAR
BEAR market .............. the conventional thought-ing like that of current BEAR market gurus ............... should be used along with my preferred method which is the WAVE method already outlined above in previous post ............... When the GREAT BEAR begins, traders/investors and public will proclaim at each drop, "bottom is in" and this will go on for quite a while. But what they fail to realize is that there can be no bottom until and unless the excesses have been thorughly wiped out. Reality is the bottom is waaaaays away. As the BEAR progresses, market participants lose interest in markets and just bugger off to do other stuff. People stop talking taht much about the markets as its is painful to talk it brings up your frustration. They just leave the arena - in disgust This continues for months and there are very few people remaining in the markets as the BEAR still continues down and down and down. Then a time is reached when even bad news is not affecting the downdrafts much. Then, bottom feeders arrive to nibble and buy while the market is still going down. Then much later all of a sudden on a day or week or months when nobody is expecting it, the Market turns on a dime and never looks back. At such junctures only fellas like yours trully will be present to catch the turn. Possibly worldwide no more than 300 like-minded fellas who rode the BEAR to the bottom Short and covered and now will settle back for a 70-yr bull run holiday of massive gains in stock portfolio ................. ................ above just very simply and rudimentarily stated just for outline purposes. CNBC's capitulation occurs in the 3rd or 3rd of 3rd wave when the rear end of the collective masses stasrts to pucker up in earnest and steam comes out the ears. THEY know then that they are #$@^&%-ed
A common feature of Love, Devotion & Bear-markets? Bear markets, like Love & Devotion come quietly on your shoulder without any fanfare whatsoever!
Bear Market Dow Jones ..... Wave 2 2 rally can end anywhere in the grey rectangular box on the right. The minimum is 38.2% which is already achieved. Wave 2 can go up to the 200-day ema (green) and then then to the 50% or 61.8% all the way up to the top of the rectangle No way to know for sure how high Wave 2 will go. The only tools we have are regular TA tools like trendlines and wavelengths to time it as it continues north. It could also have alrady started to reverse. Play by ear. Get it right because next wave down is Wave 3rd of Wave 3
Give the Man a Seegar, that was a good call, wait a moment, it was an outstanding call of the greatest recoded Crash EVER in the fastest moving BEAR market EVER!!! I would love to meet his tailor!!!! Even the music selected was appropriate for the event, see below http://tos.mx/jHt3fOu and the death march
Just in case our guys are not hep That Call nailed the Corona Virus episode. There cannot be a greater Call than that, EVER. It took out the first wave down of the Great Depression by a factor of 2.25 to 1. Bloody Hell, the Call is so good, I am in awe! During the Corona virus market collapse THEY were bellowing over a megaphone, "End of the world is nigh, save us, God, please save us" So distraught they were. worse than at any time during the Great Recession. The speed of descent was staggering I believe one of the musical backgrounds was ............ The monk bought lunch Yeah, he bought a little This is the best part of the trip The best part