RIP BTFD?

I’ll have more thoughts on this later. Here’s the lead markets story at the Journal today:

Going back to the 1980s, the S&P 500 has typically rebounded after posting a weekly loss, such as the punishing setback it suffered last week. This year, that “buy-the-dip” trend has broken apart. The broad index has fallen an average of 0.04 percentage point on the day following weekly declines, marking the first time since 2002 that stocks have consistently slipped after one-week pullbacks, according to Morgan Stanley .

What is troubling is that the only years in which stocks haven’t reliably rebounded following dips have been either at the start of or in the middle of a bear market, Morgan Stanley says. In some years, including 1982, 1990 and 2002, investors were hit by not just a bear market but also a recession.

And their chart, which is really good. I’ve never seen this presented like so:

Go read it, something has definitely changed about investor psychology this fall…

Source:

The Market’s Latest Problem: Hesitation to Buy the Dip (Wall Street Journal)

What's been said:

Discussions found on the web
  1. RIP BTFD? – Financial Solutions commented on Dec 10

    […] I’ll have more thoughts on this later. Here’s the lead markets story at the Journal today: Going back to the 1980s, the S&P 500 has typically rebounded after posting a weekly loss, such as the punishing setback it suffered last week. This year, that “buy-the-dip” trend has broken apart. The broad index has fallen an average of 0.04 percentage point on the day following weekly declines, marking the firs… Source: https://thereformedbroker.com/2018/12/10/rip-btfd/ […]

  2. w88 commented on Sep 21

    … [Trackback]

    […] Read More Information here to that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  3. PI News Wire commented on Sep 22

    … [Trackback]

    […] Find More to that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  4. electricconcretemixers.com commented on Oct 19

    … [Trackback]

    […] Find More on to that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  5. Intelligent Automation Solutions commented on Nov 27

    … [Trackback]

    […] Read More Information here on that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  6. tangerine online log-in commented on Nov 29

    … [Trackback]

    […] Read More to that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  7. rbc canada online banking commented on Dec 04

    … [Trackback]

    […] Read More Information here to that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  8. td canada easyweb login commented on Dec 20

    … [Trackback]

    […] There you can find 91999 additional Information on that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  9. DevSecOps commented on Dec 21

    … [Trackback]

    […] There you can find 69697 more Information on that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  10. low cost franchises commented on Dec 21

    … [Trackback]

    […] There you will find 39257 additional Info on that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]

  11. dadu online commented on Dec 27

    … [Trackback]

    […] There you will find 7997 additional Info to that Topic: thereformedbroker.com/2018/12/10/rip-btfd/ […]