Market is Consolidating before the Next Big Move
At the moment probably the most relevant news is that Warren Buffett is not bullish for a quick recovery.
I am in the same boat, I think we are years from a big Recovery, probably some time after the 2024 election.
At the moment it is a time to stay safe, be in cash or if adventurous, be short some. There is no reason for a big stock market rally. History says that the good long term buying opportunities happen when the market P/E is in the 5 to 9 range. That usually only happens once in a lifetime and it helps a lot if one is between 25 and 45 years in age when that happens, so that you have enough money to get a big impact and enough time to see it multiply.
So kids, if you are between 15 and 35 now, hold your powder, build a nest egg however possible. Don’t waste money on black F-150’s.
In the short term I look for a S&P trading range of 2450 to 2850, with a lot of work in the 2600 to 2700 area. A bit of gold might be a good idea now.
We may be seeing kind of a relaxed period here now and for us, it is time to get the organic garden planted for the year. So may not post every day unless something exciting happens.
We are staying isolated. I don’t trust Washington especially if you are over 60 years old. They would like to see the Social Security rolls evaporate.