I imagine the present bear market, which began in early 2022, has a minimum of one other 12 months left earlier than it bottoms. No matter the time-frame, I believe the present bear market will take the right down to the mid-2000s (at the moment at 4,090) and the right down to the 6,000 space (at the moment at 11,718). These ranges correspond with the severity of earlier bear market declines.
Many indicators flashing now have signaled an impending reversal of the bear rallies which have occurred since this bear market started. Reckless YOLO hypothesis has reached a fever pitch as soon as once more; as of per week in the past, 250 million choices contracts – the best weekly quantity in historical past. A big share of those choices have been one-day-to-expiration and weekly expiration calls. It’s the excessive quantity in these calls that creates gamma squeezes.
Alternatively, the dear metals sector – , , and mining shares – is very undervalued in relation to the overall universe of monetary property as properly most commodities.
Jason Burack and I talk about the bear market rally, corruption at Wall Road banks (with precise tales from my days as a junk bond dealer), and, in fact, the dear metals sector with a few my favourite junior performs.
