The Simple Case For A Near-Term Stock Bounce
There's a decent case to be made for a near-term bounce in US equities coming off a very bad month for the S&P and an even worse stretch for the Nasdaq.
Notwithstanding the landmines (e.g., Netflix and Amazon), earnings season is actually going ok, especially considering the circumstances.
The bar was low and on balance, corporate America is in the process of clearing it. More than half of the S&P has reported, and earnings growth is around 9%, better than the 5% consensus expected com
The trend is down but there is some energy building up for a bullish counter-trend rally.
Some of the energy released today, into the close, but after weeks of selling, there is plenty of energy left for a further rally.
It’s a traders market. Neither dips nor rips are to be trusted.