SPY - A little bit of philosophy
Updated
In general, to make any predictions about stocks or the market right now - it's, as you understand, ungrateful: if you will be right - few people will say "thank you", although you do it for free.
if you'll be wrong - they will say, here we have another pseudo-forecaster was wrong. Good if the tomatoes are not yet thrown)).
However, I think the market will still go down.
In three weeks of the crisis, there have been almost 7 million unemployed in the States. And what happens in a month? Approximately 15-20 million?
Naturally, consumption will fall. Many companies, like Masy's, will go bankrupt. By the way, all those companies that have mono-products will feel extremely bad. For example, GrayGoose, which has the mono-product I wrote about in the previous post.
Of course, some companies will be saved by the government, for example, Boeing. I think that Boeing is partly a symbol and in a sense an American spirit. This company is like the Statue of Liberty, if you know what I mean. A strong country like The United States will not allow itself not to have its own airline industry. Of course, Boeing has bad results now, numerous cases in courts, production of aircraft for the military has stopped, etc. There is nothing fundamentally strong in it at the moment, but I think it will be saved.
In general, my personal opinion is the following: fundamental analysis does not work in the market now. I have nothing against fundamental analysis in general. But it does not work on the market now.
Only speculative players are on the market now. Look at AT&T - a good company, which should have grown. But speculative players are killing its stocks.
Anyway, here's what I think. If SPY drops and we're below 243, we can look for the point of entry to the short position.
if you'll be wrong - they will say, here we have another pseudo-forecaster was wrong. Good if the tomatoes are not yet thrown)).
However, I think the market will still go down.
In three weeks of the crisis, there have been almost 7 million unemployed in the States. And what happens in a month? Approximately 15-20 million?
Naturally, consumption will fall. Many companies, like Masy's, will go bankrupt. By the way, all those companies that have mono-products will feel extremely bad. For example, GrayGoose, which has the mono-product I wrote about in the previous post.
Of course, some companies will be saved by the government, for example, Boeing. I think that Boeing is partly a symbol and in a sense an American spirit. This company is like the Statue of Liberty, if you know what I mean. A strong country like The United States will not allow itself not to have its own airline industry. Of course, Boeing has bad results now, numerous cases in courts, production of aircraft for the military has stopped, etc. There is nothing fundamentally strong in it at the moment, but I think it will be saved.
In general, my personal opinion is the following: fundamental analysis does not work in the market now. I have nothing against fundamental analysis in general. But it does not work on the market now.
Only speculative players are on the market now. Look at AT&T - a good company, which should have grown. But speculative players are killing its stocks.
Anyway, here's what I think. If SPY drops and we're below 243, we can look for the point of entry to the short position.
Note
Amazing times have come, you know...It used to take quite a lot of effort for the economy to grow by 5%.
Now one tweet, like this one: LIGHT AT THE END OF THE TUNNEL!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.