I must have met 10 new people the last few weeks stuck at home and now day trading . I'm sure that has something to do with why the mkt's having a tough time giving back even 10% of its recent 35% run despite the worst news in 100 yrs.
The unemployed numbers are insane. It's literally 10X what every other recession had. v shaped? double dip? LOL
Desperate people rarely do well at trading, it just adds to the psychological pressures of the game. I well remember the 90's when I was day trading stocks. Only a "fortunate" relative few with at least 25 K capital can now even day trade stocks, and quite a few are drawn to Covid 19 headliners. Some go into Forex with its historically low volatility, and will fall asleep more often than not! And a few will be drawn into the Big Leagues of Futures, where in an average year 95% fail even if intelligent and well educated. Most humans can't handle the continual uncertainty and the high level of leverage, a double-edged sword!
Nasdaq Composite turns positive for the year, Dow jumps 300 points PUBLISHED WED, MAY 6 20206:07 PM EDTUPDATED 7 MIN AGO If someone showed me the unemployment numbers today with 33 fucking million people unemployed and the biggest crisis the world has ever witnessed, that has unfolded the last 2 months and I had not seen where the markets were since December 31, 2019.....I would scream down at least 70%. But nope nasdaq is green for the year. And this has nothing to do with charts or anything else but the nearly $8 trillion dollars the fed has spent to prop it up....more trillions to come soon!!!
If you left dec 31st and went to an deserted island and stepped off the plane and looked at your quotes you'd first look at the Fang stocks and naz and say wow nothing happened were flat. Then you'd giggle and say why are all these people wearing those stupid looking masks . It just reinforces for the 100th time for the masses to never panic and sell stocks .
No Action is almost always the right action. To bad people think they need to keep moving; society has embedded this in us. They usually end up 15 steps back instead of 1 step forward.
So if the conclusion from this crisis and every single panic on wallstreet before is that you stay the course then why the selling and overreacting every single time... 2008-2009 financial crisis The dot com collapse. The Asian crisis Then 1987 20% collapse and every other collapse in history. If this is so true about never panicking and staying the course than how come it happens all the time? Where individuals sell and then regret later on?? All I hear after each and every single drop on wallstreet is that it will come back. That history has shown that if you stay the course and don't sell you will always always always alwayssssss make money. So why panic. Why the deep sell offs every time there is a crisis? And as for FANG stocks, geeezus these stocks can't and won't be the leaders forever. This trade is so old im shocked its still working. Look at history. The leaders in the past have never stayed leaders forever ....and thats a FACT!!!!! These fang stocks and those other stocks just outside the FANG stocks will not be on top forever. This will change sooner than later and when that happens wallstreet better find another handful of stocks to make up the ndx 100 that can help assist in every rally because every time there is a rally its just a handful of names contributing to the rise.
Where or what source did this 15 million new day traders in the last two months come from ??? A broker I talked near the latter part of March...he states more inactive trading accounts, increased number of margin calls and he didn't mention anything about an increase in number of new accounts. Yet, personally, I do know 2 people that have open day trading accounts but they have not yet done a single trade and another person has become active in a prior inactive trading account...just simulator trading for him for now. wrbtrader