PianoMan: Well, when the initial heavy sell-off was happening last February, it looked like a wave A corrective move downward but when it went to new highs in the next advance, wave B’s can’t go to new highs. So its still in the uptrend, unless we’re starting a wave A now, which is too early to tell just yet.
The 5-wave down moves I’ve been noting on smaller time frames look like it could be a possibility. But time will tell. As things unfold, we see and know more.
Corrections lower are much tougher to call than 5-wave trending moves, where the waves are more distinct and less choppy.
Bob: Yes, we did well in capitalizing on the sell-off by making a very quick gain on the upswing. We made a couple of year’s worth of gains in 30 days. However, I was surprised to see the market go to new highs after a sell-off that steep. That’s highly unusual, but we are in rare/unusual times.
ha-ha. Yeah, those brokers get nervous if you have a lot of cash. They want that invested, because they’re scared you’ll take it out if it stays uninvested. They also think…if you don’t have much invested, then you may be paralyzed and not know what to do. Little do they know, it’s neither. ha-ha.
Yeah, listening to brokers is a recipe to ride them all down. They’re never going to tell you not to be invested. It’s like asking a car dealer should you buy a car. Every day is a day to buy a car, to them. ha-ha.