Market Extends Winning Streak but Impending Top Looms

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Stocks Analysis by Jani Ziedins covering: S&P 500, iShares Core S&P 500 ETF, SPDR® S&P 500, S&P 500 Futures. Read Jani Ziedins's latest article on Investing.com

Those that were bearish on Tuesday were still bearish on Thursday. What changed is the market ran out of impulsive sellers last Friday.

Remember, stocks top when everything looks great, and they bottom when everything looks terrible. By that measure, this is definitely a good time to be bottom-fishing. There were a lot of greedy bears gleefully criticizing my optimism last week. And without a doubt, they were right initially. But here we are a few days later, and the market has turned all of their profits into big piles of losses.

Thursday’s nearly 2% up day was the biggest gain of this rebound, and these things usually accelerate right before the end. But now that I’m out of the market and sitting on a huge pile of profits, the very first thing I do is start looking for that next opportunity to get back in.

 

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