Dear Money & Crisis Reader, The media is going bananas about this week’s sell-off. All too often, investors miss out on major bull markets because they get scared out of their longs. I’m not trying to be insulting here, it’s happened to me in the past. Which is why whenever the market begins to break down, I turn off the TV and look at what the charts are telling me. Put another way, rather than panicking based on how I feel, I let the market TELL me what is happening. So with that in mind… The S&P 500 has not even broken its 50-day moving average yet. It did that twice since the March 2020 lows. And those occasions were NOT a time to panic either. Indeed, if you sold then, you missed out on MOST of the bull market thus far. Ok, so that’s the overall market. But what about some of the more bubbly stocks? You know, the ones that are up 500% or more from the March 2020 lows. Surely, they’ve collapsed in dramatic fashion. |
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