Friday, May 6, 2022

Is this a bear market?

Another indicatior, other than the grossly over valued stock prices at the end of 2021, which are a leading indicator of a bear, down market. And The Seven ECONOMIC LOGIC Stock Market Timing Indicators, that  turned Moderately Bearish on April 17, 2022, and Bearish on May 1, 2022, as reported on this blog:

The Best Five Days of the Month Indicator

This very short term trend is a mere five days. The best five days of the month in most months. Days when stock prices are boosted from salaried workers making monthly contributions to their 401k, IRA and Keogh investment accounts, That money typically goes to investment advisors on the last day of the month, and most is invested that day, and in the following four days (that the stock market is open). This trend is consistent during a bull market. But ... the last day of April 2022 was a very bad day for the stock market, and yesterday, the last day of the latest five day period, was also a very bad day. That behavior is unlikely during a bull market, 

Based only on this indicator, we are in a bear market.

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