Stock market sell-off: Investing strategy, how to trade for recovery - Business Insider

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A fund manager at a $629 billion firm lays out his strategy for 'making money at the expense of machines' during the stock market's sell-off — and shares 4 sectors he's betting on

, the Dow Jones Industrial Average shed over 800 points, and the tech-heavy Nasdaq plunged almost 5%, Steven Chiavarone thought investors should not panic but stay put.

The S&P 500's relative strength index, which is a momentum indicator that measures the speed and change of price movements, hit 80 on Thursday. Meanwhile, the large-cap index was trading 15% above its 200-day moving average for the first time since January 2018. However, if a meaningful pullback happens, Chiavarone said he has "absolutely no qualms about making money at the expense of the machines that don't understand the whole picture."

 

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