Latest Stock Market News

It’s A Hard-Penny Stock Market


  • Stocks have rallied into resistance.
  • Uncertainty has caused stocks to churn sideways since mid-November.
  • A wait-and-see approach until a trend establishes itself may be wise.

Sitting on the sidelines is hard because the pressure to make money is high, especially if trading is the main source of household income. In a raging bear market, patience pays less. However, it can pay handsomely in bear markets when uncertainty makes gauging risk to reward tough.

The stock market’s made a big move since mid-October, but major market indexes now sit at a crossroads. Support from short covering, which fueled the first half of the move higher, has waned, and institutional managers and intermediate-term investors are reticent to press the buy button, given the S&P 500 is bumping its head on critical  200-day moving average resistance, inflation remains high, and economic uncertainty has increased.

In short, we’re at a point when bear markets rallies typically fail, making this a tough-penny environment for stock pickers.



Read More: It’s A Hard-Penny Stock Market

You might also like