Time From Bottom to Get Aggressive
I’ll show where the low/FTD happened but more importantly where the really good opportunity to get aggressive on the long side appeared.
Lets start with the now infamous 2020 example. Markets bottomed on 3/26, we don’t get a valid accum day until 4/6 which is where I bought a few stocks but didn’t start getting aggressive until the first highlighted area. The 2nd highlighted area I got REALLY aggressive/long
Similar in 2018. Market makes a low on xmas eve 12/24 and we get an accumulation day on 1/4 but didn’t really start seeing constructive setups until the highlighted area.
In this ex we had market make a low and then several failed accumulation days which I highlighted and it took 3-4 attempts before it stuck and stocks weren’t looking good until the highlighted area.
2010 was similar to 2011 in reverse obviously. Market makes a low, some failed accumulation attempts and then multiple opportunities to get aggressive weeks later similar to 2020.
6. In the 2010/2020 examples in both cases where I got most aggressive (levered long) people thought I was nuts because the market was so far both in time and distance from the lows. Draw your own conclusions.
— Mark Ritchie II (@MarkRitchie_II) February 25, 2022
Draw your own conclusions but based on the prior examples no need to do much yet imo.