Hey friend,
Welcome back to a new week.
Nothing much on the economic calendar today – just existing home sales, which, at 4.02 million was below expectations of 4.1 million.
Tomorrow morning, though, we’ll get the big CPI data.
Let’s see how the markets have been moving.
The Daily Direction
Note: Indexes closed higher to end last week and have been moving higher this morning – keeping all index directions in the green.
The Daily Nugget
“Far more money has been lost by investors trying to anticipate corrections, than lost in the corrections themselves”
~Peter Lynch
The March selloff was proof of that.
Of course, the mythical “perfect” trader would have sold right before the collapse…
And then got back in at the absolute bottom.
Of course, that mythical trader is just that – a myth.
More than likely, those who thought the market was going to crash even before then were sitting on the sidelines…
And then after the market bounced back despite the situation in the Middle East being far from resolved…
They probably thought it was another bull trap – and stayed out too (and are likely still out)…
Thinking that a bigger drop was “just” over the horizon.
The result is, of course, missing out on some of the biggest gains of the year…
All because you were waiting for “THE” selloff to make a move.
In general, it’s better to be biased bullish instead of bearish.
It’s just that bearishness is what captures the most attention.
If a major correction comes, we’ll deal with it then (that’s what stop losses are for).
But don’t stay out of the market – and pay heavy opportunity costs – waiting for the next crash.
Play the rally that’s right under our noses right now.
For instance, did you know about America’s $12 billion “injection” into a major crisis…
The Traders Agency Team
