Dec

19

 When markets sell off sharply and severely and the prevailing trend changes it appears that a basing period is needed before prices move higher again. This period maybe in someway proportional to the sell-off. Note the 2000 equity sell off took roughly 1 year march 2002-march 2003 before the market than rose again solidly.

It doesn't appear there needs to be any quick decisions made (however seeing where prices are now to where they were 4 months ago almost drives you to act) to get long equity or crude at these levels or a lot of other markets for that matter as work needs to be done in price and this will effectively take place as excesses are unwound.


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