There are opportunities in any market..!I proved that there are opportunities in any market if you know how to find them.
Making money is always good, but making money based on a flawless Technical and Fundamental analysis when everyone else loses money is different..!
If you made money based on my analysis, I would appreciate it if you make a small donation to a charity of your choice.
If you want to know about my choice, give me a direct message so I provide the link.
“The main difference between me and other people who have amassed this kind of money is that I am primarily interested in ideas, and I don't have much personal use for money. But I hate to think what would have happened if I hadn't made money: My ideas would not have gotten much play.”
― George Soros
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Moshkelgosha
True Definition of Failure..!According to ARK-funds.com:
Fund Objective
ARKK is an actively managed Exchange Traded Fund (ETF) that seeks long-term growth of capital by investing under normal circumstances primarily (at least 65% of its assets) in domestic and foreign equity securities of companies that are relevant to the Fund’s investment theme of disruptive innovation.
Now they are 47% don YTD is it a good time to ask them:
What is your plan for the Bearish market?
What is your plan for the possible coming recession?
However,
I know the answer..!
looking at the track records of the CEO Cathie Wood in 2008 shows she has no plan for it nor learned her lesson 14 years ago..!
I still believe the story will be ended the same as the NETNET fund..!
Soon or later there will be no ARK- fund to talk about..!
I like to congratulate her on breaking her record in 2008, in just 4 months, this is quite an achievement..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
I've got a hundred million reasons to walk away (Lady GAGA)On March 7th, I published my very first analysis of Valero and A possible 46% opportunity in less than 6 months..!
After I publish my analysis for VLO on March 7th, 2022, and mentioned an opportunity to buy at the 86-87 level with a 46% gain in less than 6 months:
1- March 8th,2022:
- Bank of America added VLO to the US1 list and adjusted its target price to 135 from 107 for 2022.
(The US 1 list reflects strategic stock recommendations made by the BofA Merrill Lynch US 1 committee.)
-Scotiabank Raises Price Target for Valero Energy to $90 From $83.
2-March 14th,2022:
-JPMorgan Adjusts Valero Energy's Price Target to $101 From $95
-Tudor Pickering Raises Price Target for Valero Energy to $104 From $93
I evaluate the Stock from all the aspects I could, But a childish mistake and market sentiment cost me the lion's share of the profit!
I closed my long position with a 9.5% profit and my Call options with a 35% profit on March 22.
I made that greedy decision to re-enter at lower prices, but VLO moved up another 18.2%.
I re-enter my position today because the same criteria appeared on the chart once again, and that is the historical lowest VLO/GY1!:
(GY1! is Gulf Coast Crack Spread)
the reaction of the market to the earnings is not predictable with a high accuracy rate, but tomorrow earning result remind me off this Lady GAGA lyrics:
I've got a hundred million reasons to walk away
But, baby, I just need one good one to stay
Oh, baby, I'm bleeding, bleeding, ey...
Can't you give me what I'm needing, needing?
I have a lot of reasons to support the Idea that VLO earnings will be recorded High..!
and the only thing that could prevent them is:
VLO financial advisers and future traders fixed the Crack Spread and oil prices carelessly..!(which is very unlikely)
So I spend 2% of my capital on the call options, and possibly I will realize the options in case we see a big bullish gap..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
* I have a long position.
p-value 0.0005The positive correlation between these 2 charts is so high to ignore in the post-pandemic era..!
Although predicting the outcome of earnings and market reaction to that is very hard, Meta (Facebook) could follow Netflix and disappoint the shareholders..!
From a statistical point of view P-value of 0.0005 in the past 529 trading days means, you are looking at the same chart..!
Education:
"A p-value is a statistical measurement used to validate a hypothesis against observed data. A p-value measures the probability of obtaining the observed results, assuming that the null hypothesis is true. The lower the p-value, the greater the statistical significance of the observed difference."(Investopedia)
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Comprehensive AMD analysis!cenario 1: a bullish trend after a flag pattern, Target range: 152-165
Scenario 2: a cup and handle pattern(not a classic one): target price 145-160
Scenario 3: a bullish regression channel (-3,+3)
Scenario 4: A possible Bull trap (crossing above previous resistance) + Down Volume Phenomenon in the past 8 days!
* Down Volume phenomenon: Price increase + volume decrease!
If you are looking at the past 10 days, you see the buddy of the handles become smaller in comparison to the days between Oct 7-Nov 11.
Conclusion:
I think it is highly probable that AMD could form Top formation between 155-160 price range!
Best,
Moshkelgosha
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Important Observation..!The Lowest NDX reading in 2022 was on Feb 24th:13065.44
However, on that day Yearly performance of NASDAQ 100 was 8.25% which is 2/3 of the average yearly performance in the past few decades!
On March 14th, NDX slipped to 13020, which was equal to -20.06% TD and -0.8% yearly..!
It was the first time since the COVID crash that NDX had such a big correction and yearly performance touched the negative zone!
Today, if you are looking at the performance table on the right upper corner of the chart, you see NASDAQ 100 performance is red in all the six boxes..! This means Weekly Monthly, 3 Monthly, 6 monthly, YTD, and yearly performance is Negative..!
I think anyone who thinks this is a bull market will pay the price soon..!
and this is just the beginning of the story..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
*I am 100% cash at the time of writing this!
It look like the bridge in the Squid game..!All the gains in the past 50 months were wiped out..!
No need for more explanation..!
Try to be on the right side of the game is important..!
What if Netflix goes down another 30-50% from here?
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Rate of change could be more important than the change..!Rate of change is used to mathematically describe the percentage change in value over a defined period of time, and it represents the momentum of a variable. The calculation for ROC is simple in that it takes the current value of a stock or index and divides it by the value from an earlier period. Subtract one and multiply the resulting number by 100 to give it a percentage representation.(Investopedia)
What Is Volatility?
Volatility is a statistical measure of the dispersion of returns for a given security or market index. In most cases, the higher the volatility, the riskier the security. Volatility is often measured as either the standard deviation or variance between returns from that same security or market index. (Investopedia)
What Is Dispersion?
Dispersion is a statistical term that describes the size of the distribution of values expected for a particular variable and can be measured by several different statistics, such as range, variance, and standard deviation. In finance and investing, dispersion usually refers to the range of possible returns on an investment. It can also be used to measure the risk inherent in a particular security or investment portfolio.
(Investopedia)
My observation:
One day rate of change dispersion almost doubled in the past 5 months, which means market risk has been doubled at least!
Conclusion:
In a market with higher risk and higher volatility there is a greater chance of getting stoped out (losing money)even if your analysis is correct!
Solution:
Trade less frequently and sit on cash(30-70%)
The most important point in trading is: Managing the Risk correctly..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
moving toward a new all time high..!I think we are very close to seeing a new all-time high, late April or May 2022..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
What you need to know about Tesla Earning this week!My First rule: While Earnings outcome could be predictable, the market reaction to the earnings is very hard to predict..!
You can find all the combinations: From very disappointing earnings that resulted in a big jump in stocks price to very promising earnings leading to a big downward gap!
A brief Fundamental Analysis:
Now let's talk about Tesla's earnings on April 20, 2022: Wednesday after the market closure,4:30 p.m. Central Time / 5:30 p.m. Eastern Time.
Tesla Q1 2022 Financial Results:
Production: 305,407, +69.3% increased in comparison to Q1 2021, -0.15% decreased in comparison to previous quarter,Q4 2021.
Deliveries: 310,048, +67.7% increased in comparison to Q1 2021, +0.46% increased in comparison to previous quarter,Q4 2021.
*Tesla increased prices several times in 2021 and 2022:
Revenue Forecast: Must be Increased significantly increased in comparison to Q1 2021, Must be close to the previous quarter, Q4 2021.
**Considering the inflation effect, higher sales don't mean higher profit or higher market valuation necessarily:
Education:
The price-to-sales ratio (Price/Sales or P/S) is calculated by taking a company's market capitalization (the number of outstanding shares multiplied by the share price) and dividing it by the company's total sales or revenue over the past 12 months. (Investopedia)
Now let's look at Price patterns:
The previous Earning:
1- A -29.5% decline in 13 trading days from previous high, then +16% increase in 3 days followed by -19.8% drop in 3 days..!
So, the previous impressive earnings did not lead to a bullish rally ..!
Current Price Pattern: (My Observation)
1- Bearish Sushi Roll Pattern:
2- Bearish Harami:
3- Rejection from resistance and gap got filled:
4- Option walls,and Max Pain: 1050-950, Max Pain:970 (will need update daily)
5-Put/Call OI: 1.01 (Consider Bearishwhen OI>0.7)
Conclusion:
A: One thing is sure, implied volatility will be increased, and we should manage our position day by day, and I tend to have no open position in Tesla before earnings!
B: Options trading: both Put and calls could be more rewarding this week if you are on the right side of the equation..!
Action Plan: Will be published..!
For the long-term Consider these:
Toyota Motors price-to-sales ratio:
or
Volkswagen price-to-sales ratio:
and
Mercedes-Benz's latest electric concept car drove 1,008 kilometers — 626 miles — on a single charge. During 626 miles of driving, the concept car consumed one kilowatt-hour (kWh) for every 7.1 miles traveled. EVs today generally get 2-4 miles per kWh.
The road trip included 87-mph stints on the Autobahn, mountain passes, rain, and temperatures ranging from around 37 to 64 degrees Fahrenheit. At the end of its journey, the Vision EQXX still had 87 miles of range left, amounting to a theoretical range exceeding 700 miles.
(Businessinsider)
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
A Bold Forecast!With current momentum, based on my analysis Coinbase could drop below 100 by the next earnings!
It is a 50% drop from current prices! and it could happen in less than a month, If you are interested in shorting opportunities evaluate this!
Best,
Moshkelgosha
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
What would happen if Inflation pass 8.5%..!In this chart, you can not see Inflation (7.9%), however, it is still below the red line..!
Based on my forecast if YOY inflation passes 8.5% it will fly far above it and soon it will be double..!
Notice: We are going to experience a super volatile week: Interest Rate + Economic Projection + Quadruple Witch..!
Best,
Dr . Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Gold in 2022 after 100 days..!On December 31, 2021:
I chose the Gold chart for my Happy new year message to my followers. You may think it was a random choice, but it was not..!
Gold is up 7.56% so far in 2022 which neutralizes the inflation better than other assets in 2022..!
Let's bring back the Gold Standard and look at the charts:
1-NASDAQ100/GOLD Spot Price: -18.3% YTD
2-S&P 500/GOLD Spot Price: -12.4% YTD
3-USOIL/GOLD Spot Price: +15.3% YTD
4-Bitcoin/GOLD Spot Price: -17.1% YTD
Compare with USD:
Conclusion:
Inflation is a global issue..!
A: Gold is one of the best hedges against inflation(5000 years of history)
B: Cryptocurrencies are not a good hedge in the high inflation era.
C: Higher inflation could cause a panic buy and push the gold price much higher!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
* I have a long position.
The new Bullish cycle is just started..!Question: Is this a good time to buy?
Answer: No
So what is the plan?
Wait,,!
Wait for what?
For the Pullback to 44-45K and buy..!
What would be the target?
1st target would be 50-52k
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Accumulation or Redistribution that is the question?Do you think the picture is similar to the chart pattern?
I think soon we will have the answer to this question, I would rather wait for a clear breakout and confirmation to enter trade..!
Previous analysis:
Conclusion:
Wait for breakout..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
AMD at the most important support level of past trading year..!AMD reached 100 10 times since September 2021 and every time bounced back!
AMD made a flat bottom triangle between Aug-Sep 2021 and continued another bullish rally:
However, there is a big difference between a triangle after a Bullish rally and a bearish rally:
Moreover, it could be considered a very wide Head & Shoulder pattern(not a classic one):
Possible Simulation:
Conclusion:
AMD could retest the 125 once again and experience a drop to 72, the simulation pattern!
Do not short it here..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Neural network for pattern recognition..!Closing below 1072 will push tesla towards the green line..!
Tesla has finished the surprise move???
If you can describe the similarities between the golden box 1 and 2, you will see the future movement!
Let's break it down:
Use your neural network works for pattern recognition, you just need to train it well..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Do not Short ARKK or Tesla, just buy SARK..!PRINCIPAL INVESTMENT STRATEGIES
The Fund is an actively managed exchange-traded fund that attempts to achieve the inverse (-1x) of the return of the ETF for a single day, not for any other period, by entering into a swap agreement on the ETF. A “single day” is measured from the time the Fund calculates its net asset value (“NAV”) to the time of the Fund’s next NAV calculation.
The Fund will enter into one or more swap agreements with major global financial institutions for a specified period ranging from a day to more than one year whereby the Fund and the global financial institution will agree to exchange the return (or differentials in rates of return) earned or realized on the ETF. The gross return to be exchanged or “swapped” between the parties is calculated with respect to a “notional amount,” e.g., the return on or change in the value of a particular dollar amount representing the ETF.(sec. gov)
This chart needs no explanation for those who know what to do..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
3 Extravagant Weeks are ahead..!Based on my calculations, Jerome Powell is going to move the markets this week..!
I am pretty much sure markets will move with higher momentum after FOMC..!
Which side?
We will have the answer in 2 days..!
Best,
Dr . Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Nasdaq, S&P500, Dow Jones, and Russell 2000 Forecast..!2022 started badly, but gives investors a generous opportunity to take some chips off the table..!
The major difference between a Bullish rally and a relief rally is Volume..!
In the past 14 years, I have read 100-150 K pages of books and articles about financial markets, never read a sentence that indicates a bullish rally with lower than average volume is sustainable..!
SPY:
QQQ:
TSLA:
The similarity between 2022,2008, and 2000 becomes more obvious each day..!
Forecast:
The most probable situation is testing green lines once again in the coming weeks..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
The most important support and resistance level to watch!You can see the most important support (green lines) and resistance (red lines) to watch in the coming days in these charts!
AAPL:
MSFT:
TSLA:
AMD:
NVDA:
FB:
BABA:
PLTR:
TWTR:
AMC:
GME:
TLRY:
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
SPY Forecast..!You can not find a single article that says going higher at lower volume is a sign of strength..!
Similarities between the past 2 weeks and January 24 - Feb 9, 2022, are not deniable!
In both cases, we see a Sharp Downward move followed by a shape upward move at lower volume!
The FOMC effect will be soon punished..!
The final question:
Why trading volume and its 10 days average is at the lowest levels in 2022?
Could this be smart money buying in this market?
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
Zoom out the Zoom..! The past 3 yearsI think whatever you need to know about a Formation of bubbles and their burst you can see in the ZM chart:
An 805% move in 18 months followed by an 84% decline in the next 17 months:
During that 84% decline, you see a 36% and 48% positive surge, but the aftermath remained the same..!
Even a significant change in the fundamental did not help:
But ZM was not alone, other examples are:
NIO: +5500% followed by -80%
DOCU:
And the mother of All bubbles:
ARKK:
and the Final point:
Gauging Market Changes
The key determinant of whether the market is bull or bear is not just the market's knee-jerk reaction to a particular event, but how it's performing over the long term. Small movements only represent a short-term trend or a market correction. Whether or not there is going to be a bull market or a bear market can only be determined over a longer time period.
However, not all long movements in the market can be characterized as bull or bear. Sometimes a market may go through a period of stagnation as it tries to find direction. In this case, a series of upward and downward movements would actually cancel-out gains and losses resulting in a flat market trend.(Investopedia)
Conclusion:
You can be in the Bearish market yet see the most Exotic Bullish rallies..!
Best,
Dr. Moshkelgosha M.D
DISCLAIMER
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA, an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this site are for informational purposes only and do not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using this site, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this site.
*I have open positions in SARK(74.36), SOXS(40), TZA(30.60)