The Waiting Place…
…for people just waiting.
Waiting for a train to go or a bus to come, or a plane to go or the mail to come, or the rain to go or the phone to ring, or the snow to snow or waiting around for a
Yes or a No or waiting for their hair to grow.
Everyone is just waiting.
Waiting for the fish to bite or waiting for wind to fly a kite or waiting around for
Friday night or waiting, perhaps, for their Uncle Jake or a pot to boil, or a Better Break or a sting of pearls, or a pair of pants or a wig with curls, or Another Chance.
Everyone is just waiting.Dr. Seuss - “Oh, The Places You’ll Go!”
Good morning,
Dr. Seuss wasn’t a fan of waiting, and when it comes to life and making our own opportunities, we shouldn’t be either.
But when it comes to markets, and especially this one, waiting is the only game in town.
Last week was more net bearish action, and as always, I’ll walk through exactly why.
But, the TLDR version is that this market remains in a steady downtrend, and our correction bottom checklist is no closer to being complete.
In addition, investors should recognize that this correction didn’t start from a place of strength. This wasn’t everything firing on all cylinders, and then oopsie, a little news-driven 10% correction.
This was a multi-month distributive top, preceded by months of risk-off leadership and warning signs. It raises the odds of a prolonged bear market and, at the very least, makes the bull case a wide trading range and choppy market well through the summer.
I say that not to scare anyone, but to set the expectation.
We could be waiting a long time.
Or we could be buying stocks by the end of April. As I said last week, I’m open to any possibility. But we wait for the signs of a market bottom before adding equity exposure, and last week didn’t give us any more reason to think we are there.
This week’s report will review:
Last week’s most important charts
Sentiment and signs of capitulation
Bullish leadership divergences being blown up
Why investors should keep the faith on defensives
4 divergences that are still in play
and more!
