As the COVID19 death tolls peak and stabilize, the Relief Rally looks like it’s failing.
The S&P 500 lost support at its 50 day moving average. If it breaks its short term trend line at 2700, then it’s likely the index will fall to at least the 2500-2600 range.
Given the extreme media pessimism over “depression level unemployment” and “zero Oil”, I wouldn’t be surprised if the lows of March 23 are tested. In fact, I’d welcome the dip as a buying opportunity.
INVESTING TIP: It’s important to realize that your biggest enemies are the evil emotional twins of FEAR and GREED.
- When the market drops, don’t fearfully panic and sell.
- Likewise, don’t be greedy and try to exactly time the bottom.
To be wealthy and happy, avoid the evil twins and instead focus on the beautiful triplets: Faith, Hope & Charity !