If this chart doesn’t make that point clear, nothing will.
is “the world’s greatest investor” and when he starts buying stocks in his personal account that is definitely worth noting. I do not think that Mr. Buffett’s intent was to call “the bottom”, for he is a patient investor who expects there to be volatility. I am not going against Mr. Buffett or making a … Read More
Dow Jones October 1929 Over a 23 day period, the Dow lost 49% of its value, but that was just the start of the bear market during which the Dow would eventually lose 89% of its value (386.10 to 40.56). How many people do you think called the October 1929 low of 195 “the bottom” … Read More
During the 2000-2003 bear market, the SPY made 9 significant drives lower and 8 recovery rallies. The average decline was 18.85% and the average recovery rally was 17.40% which means the market recovered an average of 73.06% of the prior loss. The speed and magnitude of the rallies in a bear market are quite seductive, … Read More
Historical perspective of bear market rallies.
We are in a brutal bear market when and at what level it bottoms is only known by liars. Below are some charts from the 1929-1932 bear market and a current Dow chart. Do not get sucked into thinking it cannot go lower. It seems like the market is due for a bounce, but the … Read More