Stocks continued the theme of closing - not too hot, and not too cold. After the morning gap lower, stocks stayed in a relatively confined range, which was impressive considering the largest company in the world by market cap was down over 5%.
$AAPL despite its sharp move to the downside, remains in a consolidation mode. The lows of a few weeks ago were not breached during market hours, in essence a higher low was put in today.
A few thoughts on the market, and where I think it's headed.
Let's get real here. After years and years of a raging bull market - although for most it doesn't feel that way - at some point stocks will suffer a sharp correction.... right? Stocks crashed in 2008. Isn't 2016 the next crash launch date? A great read on this and more puts things into perspective.
Do stocks have to crash again? It seems inevitable and we know the crash callers continue to call for crashes... thus far with crashingly unspectacular results.
While Gold was rocketing to new highs a few years ago everyone was screaming to buy gold. You must have gold in your portfolio. At that precise time, when the smartest thing you could do was buy gold.... the top was in. Gold has been selling off ever since.
Stocks? The stock market? I don't see the screams to buy stocks. Actually I continue to see people calling for a correction. The screams to buy stocks, it just isn't there. And that is why I think this market has a long way to go before we see that big pull back.
