"This deadly virus is running rampant, this one thing may save your life.... tune in at 11pm to find out what it is"
Cruel isn't it? Doze off at 10:59pm and you just may end up dead tomorrow.... at least that is what the news wants you to think. Of course I am exaggerating a little... but clearly FEAR sells, and the NEWS knows this... especially when it comes to money.
Case in point - during the financial crisis with the stock market in the midst of an ugly bear market, news trucks would frequently be on wall street covering the action for the 6 o'clock news. Now with the stock market at record highs... nothing. It's almost a non-event. Stocks at record highs....nobody cares. Stocks collapsing and people are losing their life savings... thats must watch t.v.! It's almost as if people enjoy watching misery....
You see it while you are driving. Any type of accident slows traffic down on both sides of the road as drivers and passengers eyes are drawn to potential catastrophe, looking for any type of carnage as they pass by.
For market participants the catastrophe is what has occurred twice before in the last 20 years. A market collapse.
Stocks plunging some 50%. 401k accounts and retirement accounts decimated.
and guess what? Those lows both offered a great buying opportunity. Those with a long term time horizon made out like bandits in 2008/2009. Those close to retirement, on the other hand, who decided being 100% invested in stocks instead of shifting to a more conservative strategy, got their asses handed to them.
It is the nature of the beast. There will come a time again when the market has a sharp correction. Those with a long time horizon, will make out like bandits again. Those not properly diversified, will get their asses handed to them.
Which brings me to the latest fear mongering..... the good ole Hindenburg Omen is back.
My first post on the Omen was over 6 years ago!
Just like today the market was not far removed from fresh record, all time highs,and the market, and many of its followers were looking for the next big catalyst for downside.
Here we are. Yet another excuse to be scared of possible sharp downside price action. The bears clinging to another excuse to sell.
And there remains a healthy dose of it... which is actually good for this market if your are bullish. Many still don't think its going higher. Just like in 2013 when I wrote about the Hindenburg Omen. ....if those uber bears knew then what they know now... why the market would have probably topped a few years ago. But alas, they are still here calling a top for the market. Which again, is a good thing.
"Stocks made new record highs today... tune in at 11 pm as Jim Johnson comes to you live from the watching paint dry festival"
Have a great Friday and a nice weekend. And while you are out, keep an eye to the sky for exploding dirigibles.