Market Updates

Sunday, March 29, 2020 The depth of the recent collapse requires a longer term perspective to look for price levels that would have the highest probability of supporting a bottoming of the Corona Crash. In situations like this we need to zoom out and look at historical data from a macro perspective as broader market equity prices have broken all support levels from 2017 forward. When examining very long term return data it is helpful to examine log scale charts to give us a clearer picture … [Read more...]

Day 14 of staycation on steroids and I emerged from my blanket fort later than normal. It wasn't until two hours later that I realized it wasn't Wednesday. That's when I knew I needed to get it together, put on my daytime Captain Kangaroo jammies and get to work on my "Green Light Red Light" game with Mr. Greenjeans. Broader Market Review We are having another big green day in the stock market. As I wrote on Monday night about the broad market indexes.. "If they do hold we can make a … [Read more...]

Monday, March 23rd after close Let me start by saying I don't know when the stock market will bottom. It is just too early to call an end to the disruption. But, the indiscriminate panic selling will eventually stop and create opportunities to buy quality stocks at prices we haven't seen in years. This could end up being a once in a lifetime event, in more ways than one. Patient, long term investors should be looking to get ahead of the recovery. While it is too early to digest the future … [Read more...]

Governments are shutting down the economy to save our healthcare system and as long as the uncertainties exist with the length of this shutdown it is impossible to measure the collapse of the broader market and where the bottom might be. At this rate the cure will be worse than the virus. Long term support levels in the broader market are failing. The ascending support for the Dow and S&P 500 were broken last week and Nasdaq is the only broad index that is still holding above this … [Read more...]

Some thoughts as I sit at home and ponder what to do other than watch events unfold on TV and play out on my computer screen. Maybe I'll take Coco on another walk. Oh, it's raining. The Dow is still wildly unstable due to fear of the unknown. As long as the headlines are inundating us with catastrophic like news the markets will reflect that. The stock market is always forward looking. It tries to price in the future. In times like this it will overreact, in both directions. As the news is … [Read more...]