On the heels of more violent trading in global markets, market veteran, Jim Brown, warns “anything is possible” after today’s Fed decision.
Anything Is Possible
December 19 (King World News) – Courtesy of legend Art Cashin: A Bit Of A Profile From A Pro – My friend and fellow market veteran, Jim Brown, the chart guru over at Option Investor, wrote this overnight:
I have seen multiple analyst comments that expect a post Fed bounce and then a return to bearishness on Thursday. Their crystal balls are a lot clearer than mine. I do not see any strong clues in either direction and we will be governed by Fed headlines. After that is over anything is possible. The last two weeks of December are normally the strongest but historical trends have failed completely in 2018.
What we do have is 81% of the S&P 500 stocks in correction. Of those 54% are in a bear market. Of the 2,800 stocks on the NYSE, 880 of them made new 52-week lows on Monday. That is a record.
The analyst consensus target for the S&P was 3,038 in September, 2,936 in November and 2,836 on December 1st. Today that consensus is 2,774. That would still be a 230-point rebound and I would gladly take it but there are only 7 trading days left in 2018 if you count the two half days as 1. The odds are very slim we are going to see that 2,774 level again.
On the AAII Sentiment Survey the number of bearish respondents rose to 48.9% and the most since April 2013. Bullish sentiment at 20.9% is the lowest since May 2016.
Santa better come soon.
KWN has released the powerful audio interview with Rob Arnott, whose firm helps to oversee nearly $200 billion, and you can listen to it by CLICKING HERE OR ON THE IMAGE BELOW.
ALSO RELEASED: Multi-Billionaire Hugo Salinas Price Just Warned The Global Financial System Is Going To Crash CLICK HERE TO READ.
***KWN has also released the audio interview with Gerald Celente where he discusses his top 10 trends for 2019 CLICK HERE OR ON THE IMAGE BELOW.