Yes You Can Lose Your Life Savings Following Bad Advice

Friday March 27 2020

I got this today from Zack's Investment  Research

Now here is an excerpt from

this so called Pro

And the Dow, after becoming the fastest bear market in history (it officially went from a bull to a bear (-20%) in just 19 days), just became the fastest bull market in history (+20% in 3 days from its lowest close on Monday). And in total, the bear market in the Dow lasted only 11 days.

Now, I don't want to get too far ahead because the S&P and the Nasdaq have not yet exited bear market territory.

The S&P is 'only' up 17.55% from its lowest close on Monday. And the Nasdaq is 'only' up 13.66% from its lowest close.

So both of those indexes still have more to go to officially shake the label of bear market.

But they are off to a great start.

And soon, when the worst of this is over, the economy and stock market are expected to skyrocket as pent-up economic demand is unleashed.

____________________

 

This is sheer nonsense.  The DJIA did not its bear market after 19 days.  And please understand the meaning of statistical arithmetic.

After the market falls 50%, one needs a double to get back where it was.  That is not likely to happen soon.

Understanding the Elliott Wave Principle will not only allow you to hold on to your savings, it will allow you an unbiased view of how mass social psychology plays out in the markets as well as in politics et al. 

See my previous post about Norwegian Cruise Lines.

Comments

[Thomas Dresch]

It is quite amazing to see a technical analysis such as the Elliot Wave theory not only play out in front of us but be accurate in predicting the market swings. I guess that confirms the statement: Individuals are unpredictable, but in accordance with the law of large numbers, get enough of individuals together and they become very predictable.

[Dennis Elam]

Thomas
Two great posts, and I agree that until planes trains autos and ships get moving again, the only direction for oil prices is down.