“Should I sell? ” asked my friend Megan.
“Did the truth is what happened on Friday? ” asked my friend Justin.
After two months of going vertical, the stock market is going down.
My friends want to know, is this is “the end”? fintech
“The end” to them means that the stock market is going to crash.
Like it would in the 2008 stock market crash.
Everyone now wishes they bought from October 2007, when marketplaces peaked.
However, an even greater number now wish they did something more important.
Mainly because after markets crashed, they bottomed in March 2009.
Next, they started heading up… and never ceased.
This stock market habit was so unexpected that it’s left most shareholders out of the market. Whenever the market’s made new highs, these people feel “fear of lacking out” (FOMO) anxiety.
This kind of includes lots of abundant and even superior traders.
In fact, whenever the stock market goes through a period of fall, most investors root for it to crash because they’ve missed out.
Is the moment that vindicates these investors who have missed out and stayed at out?
A Recipe for a Huge Bull Industry
No. There’s little chance of a crash right now.
The reason why is because the things that underpin the market are pointing higher.
All those things are future sales and earnings.
According to FactSet, earnings estimates struck their highest level of positive revisions in of sixteen years this quarter.
Busted down by sector, 15 of the 11 areas recorded a rise in their earnings bottom-up reports in January.
That means analysts covering practically every sector of the market are saying that business conditions are incredibly strong right now for companies.
When you look at interest rates, they’re still low. When you consider how strong business conditions are, inflation is still tame. Globally, every major economy on the earth is growing.
Business conditions worldwide haven’t been so good in decades.
Solid earnings, low interest, cut back on inflation and global expansion is a recipe for a huge bull market.
Is This the Following Stock Market Crash?
This kind of is what I consider is going to happen.
If you’re a regular reader of my articles, you know that I really believe the Dow Jones Commercial Average is going to hit 50, 000 and then go higher.
I have been saying this since early 2016.
Now, the stock market may decrease some more. However, they’ll return up, and then continue up.
The bottom level line, there is no wall street game crash coming.
Certainly, without a doubt, seeing your stocks and shares drop is painful.
However, that much I know from 25 years of investment experience: You’ll never associated with big money, hundreds of percent in benefits and even 1000s of percent in gains, if you do not press through times similar to this.