Investors need to take cover. The stock market is in for a “lightning-bolt” collapse.
This is one of the most dangerous setups. That’s because it strikes when most investors think the coast is clear.
Today’s crisis is not the same as the one in 2008. But the nature of that decline is as useful as ever for spotting what could happen next.
That’s because events are different – But our reactions aren’t.
You may be tempted to start buying again. But my analysis tells me there is a 22% lightning-bolt collapse still to come.
Take a look at this chart from 2008 that shows stocks (black-line) falling after fear (red-line) peaked.
I’m measuring fear using the VIX volatility index. I like to call this the “fear” index.
The more erratic the market, the sharper it spikes.
The shaded grey area marks the time from when volatility peaked until stocks bottomed.
That stretch of declines lasted 19 weeks — nearly five months — after investor fear maxed out.
Volatility Changes Things
Fear about the virus may have already peaked, but the number of infections and economic turmoil is still climbing.
The virus is forcing the economy to change.
Investors are also evolving.
When volatility is low, investors are calm, markets are stable and risk is an afterthought.
When volatility is high, investors are frantic, markets are turbulent and risk is a boogeyman.
The market falls when volatility spikes because investors are forced to reevaluate risk.
When investors are fearful, they sell their most risky exposure. Fear-driven selling creates a feedback loop that increases volatility and causes more selling.
Eventually, investors sell their least-risky market exposure too.
That’s when we know investor fear has peaked.
Unfortunately, that doesn’t mean the market will stop falling.
Wait for the Lightning-Bolt Collapse
Last week’s rebound could end this week.
And I expect a lightning-bolt collapse to send shares falling to new lows.
I expect the S&P 500 Index to test its low around 2,175. Then fall to 2,000 — a 22% drop from current levels — or even lower.
So, be careful.
Be patient.
And be selective when you feel ready to start buying again.
Buy companies with low debt and steady cash flow.
Think large-cap stocks on companies that have a history of riding out volatility and bear markets. Think stocks on companies that serve the world’s quickened pace of taking things online.
Avoid companies with unproven business models that depend on investors’ willingness to take on lopsided risk.
Good investing,
John Ross
Editor, Apex Profit Alert
My brother recommended I might like this blog. He was totally right.
This post truly made my day. You cann’t imagine just how much time I had
spent for this info! Thanks!
Real fantastic visual appeal on this site, I’d value it 10 10.
Hi there would you mind letting me know which
web host you’re utilizing? I’ve loaded your blog in 3 different
browsers and I must say this blog loads a lot quicker then most.
Can you suggest a good hosting provider at a honest price?
Thank you, I appreciate it!
My blog post :: TactLine M1000 Watch Manual
I truly enjoy reading through on this site, it
contains good posts.
Look into my website – http://tbkh.de/
If some one desires expert view regarding blogging after that i recommend him/her
to pay a quick visit this web site, Keep up the nice
work.
Also visit my blog – 918kiss 1
I have been browsing online more than three hours today,
yet I never found any interesting article like yours. It is pretty worth enough for
me. In my view, if all site owners and bloggers made good content
as you did, the internet will be a lot more useful than ever before.
My website :: https://mpc-install.com/punbb-1.4.6/viewtopic.php?id=611421
My brother recommended I may like this website. He used to be totally right.
This submit truly made my day. You cann’t consider just how a lot time I had spent
for this information! Thank you!
Also visit my website :: http://www.alperencinar.com
Hey there! I’m at work browsing your blog from my new apple iphone!
Just wanted to say I love reading through your blog and look forward to all your posts!
Keep up the great work!
Also visit my web site: https://quanfff.com
Hmm it seems like your blog ate my first comment (it was extremely long) so I guess I’ll just sum it up what I had written and say, I’m thoroughly enjoying your blog.
I too am an aspiring blog blogger but I’m still new to the whole thing.
Do you have any recommendations for novice blog writers?
I’d genuinely appreciate it.
my web blog :: rcmagazine.ge
Thank you, I have recently been searching for information about this topic for ages and yours is the best I’ve found out so far. However, what about the bottom line? Are you positive concerning the supply?
grapefruit and viagra viagra results ViagraCND100Mg – generic viagra forum
what happens when you take viagra can i buy viagra over the counter in canada – generic viagra overnight
zithromax capsules zithromax online – zithromax azithromycin
doxycycline mono buy doxycycline – generic for doxycycline
generic ivermectin buy stromectol online – stromectol how much it cost
I just couldn’t leave your site prior to suggesting that I really loved the usual information an individual provide to your visitors? Is going to be again steadily to check out new posts.
levitra no prescription
I simply couldn’t go away your website prior to suggesting that I actually enjoyed the usual information an individual supply to your visitors? Is gonna be back incessantly in order to inspect new posts.
buy cialis online reviews
Securetabs Return
where can i buy zithromax uk zithromax generic – zithromax antibiotic
https://buysildenshop.com/ – does viagra help you last longer
viagra sex video
Wow, awesome weblog structure! How long have you been running a blog for? you made blogging glance easy. The whole glance of your web site is great, let alone the content material!
where to buy ivermectin ivermectin tablets – stromectol liquid
ivermectin price comparison ivermectin for sale – ivermectin 90 mg
propecia prescription buy propecia – buy propecia without a prescription
prednisone 20mg for sale prednisone generic – purchase prednisone 10mg
aclepsa buy propecia
https://buypropeciaon.com/ – Propecia
https://buytadalafshop.com/ – cheap cialis generic online
chronic daily cialis causing low potassium
Amoxicillin In Pigs
Priligy
http://buypriligyhop.com/ – Priligy
hydroxychloroquine to buy
Care
what is azithromycin
Comparatif Viagra Cialis Levitra
https://buyzithromaxinf.com/ – azithromycin tab 250mg
http://buylasixshop.com/ – torsemide vs furosemide
Lasix
https://buyplaquenilcv.com/ – hydroxychloroquine over the counter walgreens
Viagra Klappt Nicht
[url=https://www.blogexpander.com/]grow your blog – blogexpander[/url]
EgNor
[url=https://www.blogexpander.com/]grow your blog – blogexpander[/url]
Prednisone
http://prednisonebuyon.com/ – cortisone steroids
Generic Viagra No Precription
I blog commonly as well as I seriously treasure your web content. This great article has truly peaked my attention. I am mosting likely to book mark your web page and also keep looking for all new data regarding when a week. I opted in for your RSS feed too.
Hello there, just became aware of your blog through Google, and found that it is really informative. I am gonna watch out for brussels. Ill be grateful if you continue this in future. Numerous people will be benefited from your writing. Cheers!
You hold a specialised capability. Your drafting skill sets are without a doubt wonderful. Many thanks for sending material on-line and teaching your followers.
Hello, i think that i saw you visited my site so i came to return the favor.I am trying to find things to enhance my site!I suppose its ok to use some of your ideas!!
you are really a good webmaster. The website loading speed is amazing. It seems that you’re doing any unique trick. In addition, The contents are masterwork. you have done a great job on this topic!
https://bit.ly/films-dyuna-2021-goda-smotret-onlaine
406206 210656Good day! This post could not be written any much better! Reading this post reminds me of my previous room mate! He always kept chatting about this. I will forward this write-up to him. Fairly certain he will have a great read. Thanks for sharing! 808456
buy stromectol online uk
sublingual cialis no prescription
Order Propecia Pill
cialis pen metal
buy cialis online in usa
Propecia
Viagra
Acheter Xenical En Ligne Pas Cher
purchase cialis in china
buy viagra super active
I enjoy dropping by your blog page. You are definitely clever as well as create so efficiently. Thanks when it comes to striving on this specific blogging site.
Cialis
655128 277199Fantastic post will probably be posting this on my blog today keep up the good work. 10389
Lasix
cialis beta blocker
can i buy priligy in mexico
Hi, Neat post. There is a problem with your site in internet explorer, would check this?K IE still is the market leader and a large section of other people will miss your excellent writing due to this problem.
Site Serieux Vente De Kamagra
comment utiliser le levitra 20mg
Great beat ! I wish to apprentice while you amend your web site, how could i subscribe for a blog web site? The account helped me a acceptable deal. I had been a little bit acquainted of this your broadcast provided bright clear concept
Its like you read my mind! You seem to know so much about this, like you wrote the book in it or something. I think that you can do with a few pics to drive the message home a little bit, but instead of that, this is excellent blog. An excellent read. I’ll definitely be back.
Keep working ,great job!
Hey, I think your site might be having browser compatibility issues. When I look at your blog site in Ie, it looks fine but when opening in Internet Explorer, it has some overlapping. I just wanted to give you a quick heads up! Other then that, very good blog!
Very interesting points you have mentioned, regards for posting. “There is nothing in a caterpillar that tells you it’s going to be a butterfly.” by Richard Buckminster Fuller.
Acheter Cialis France
You can definitely see your enthusiasm in the work you write. The world hopes for more passionate writers like you who are not afraid to say how they believe. Always go after your heart.
gabapentin 300
sex games mlp https://cybersexgames.net/
downloadable sex games
[url=”https://sexgamesx.net/?”]yiff furry sex games[/url]
inappropriate sex games
sex with games
[url=”https://sexygamess.com/?”]reality sex games[/url]
sex games anime
harrah’s online casino pa https://casinoonlinek.com/
amatuer marroed couple pkay sex games
[url=”https://winsexgames.com/?”]sex adventure games[/url]
reindeer games sex scene
online real money casino usa https://onlinecasinoad.com/
rivers online casino real money https://casinogamesmachines.com/
foxwoods online casino https://onlinecasinos4me.com/
parx online free casino https://online2casino.com/
dildo sex games
[url=”https://sexgameszone.com/?”]bleach sex games mayuri[/url]
sex games online free
online casino for real money usa https://casinoonlinet.com/
dr berg keto https://ketogenicdiets.net/
facebook sex games
[url=”https://sexygamess.com/?”]sex board games to play with your boyfriend[/url]
husband and wife sex games
keto restaurant near me https://ketogendiet.net/
keto gumbo https://ketogenicdietinfo.com/
essay about writing https://anenglishessay.com/
essays about writing https://topessayswriter.com/
writing essays for college https://yoursuperessay.com/
essay writing service cheap
[url=”https://student-essay.com/?”]write descriptive essay[/url]
writes essay for you
write a personal essay https://howtowriteessaytips.com/
mba essay writing service https://checkyouressay.com/
indian gay dating sites https://gayprideusa.com/
yukon gay dating https://gaysugardaddydatingsites.com/
website that write essays for you
[url=”https://multiessay.com/?”]writing essay services[/url]
writing the essay nyu
critical thinking traits https://criticalthinkingbasics.com/
critical thinking introduction https://criticalthinkinginstitute.com/
analytical thinking vs critical thinking https://criticalthinking2020.net/
how to build critical thinking skills https://uncriticalthinking.com/
essay hook examples https://vpn4home.com/
gre essay https://vpnshroud.com/
I think this is one of the most significant information for me. And i’m glad reading your article. But want to remark on some general things, The site style is perfect, the articles is really great : D. Good job, cheers
rhetorical essay
[url=”https://essayprepworkshop.com/?”]reflective essay[/url]
how to write a good essay
how to cite an essay
[url=”https://dollaressays.com/?”]help writing essay[/url]
write compare and contrast essay
professional essay writing service
[url=”https://essaytodo.com/?”]essay scorer[/url]
classification essay
tadalafil drug what is tadalafil
tadalafil liquid tadalafil drug
cost of cialis cheap generic cialis for sale
prescription tadalafil online cheap generic cialis for sale
tadalafil online with out prescription buy generic cialis online with mastercard
tadalafil cialis cialis without prescription
tadalafil price walmart cialis without a prescription
cialis without prescription tadalafil generic where to buy
tunnel bear vpn
[url=”https://addonsvpn.com”]best free vpn service[/url]
free avast vpn license key
friendship essay
[url=”https://anenglishessay.com”]outline for literary analysis essay[/url]
introduction essay
gay chat cams free
[url=”https://bjsgaychatroom.info”]gay chat phone[/url]
m4m chat phone free rochester ny gay
https://cialisbusd.com/ tadalafil drug
ipvanish vpn
[url=”https://choosevpn.net”]tiger vpn[/url]
is there a free vpn
tadalafil blood pressure cost of cialis