As I’ve been saying ad nauseum: If my reading of the current circumstances are correct, what will happen will be a sudden and out-of-the-blue down draft catching everyone off-guard, just like it did (as I also warned back then) in February.
Hint: the chart below shows today’s “sudden and out of the blue” blindsiding. To wit:
The above chart is the same one I’ve been using in my ongoing commentary with only a few notations updated. That blue line as you can clearly see has been more than a little important as far as the machines have seemed to be concerned, as I said it was. Again, as I’ve also stressed, the “monkey-bar effect” which it had been displaying would result in a significant “slip” should it loose its grip. Today – you are seeing that expression both in detail and in spades.
And, if I may be so bold, please allow me the levity to point out something I also said this week on the show that should be a clarion call of siren warnings if or when we possibly hear the following words – because just like today – they also came out-of-the-blue, just like I iterated.
For those listening to the show this week you heard me state these exact words…
“You’ll understand just how full of sh#t these people in the business/financial mainstream media are when you suddenly have some market correction of significant size, when just prior, they were telling you its all blue skies for as far as the eyes can see when you hear them say, ‘Well, this is really nothing much and is a normal part of dynamic markets.'”
So if you were one that bought Tesla™ on Monday, or Apple™ how you feeling today?
Today on CNBC™ here’s how Bob Pisani said you should feel…
“…today’s pullback is a drop in the bucket”
“…what we’ve been waiting for – a healthy pause that refreshes”
“…the damage today is really not as bad as it looks”
– Bob Pisani
Tesla entered a bear market today from Monday and Apple alone lost more market cap than the entire market cap of most companies within the S&P 500™.
Will we fall further from here?
As always, we shall see. But today’s movement should give one pause for serious contemplation, not what the so-called “experts” are dishing on CNBC and the others.
© 2020 Mark St.Cyr
Note: This is not trading or investing advice of any sort. This commentary is for “big picture” discussion purposes only. Please read, or re-read the “About This Site” page for any questions or clarifications.