Amin Harirchian @aharirchian: "$SPX500 𝐄𝐧𝐝 𝐨𝐟 𝐜𝐨𝐫𝐫𝐞𝐜𝐭𝐢𝐨𝐧 𝐨𝐫..."

Sweden

$SPX500 𝐄𝐧𝐝 𝐨𝐟 𝐜𝐨𝐫𝐫𝐞𝐜𝐭𝐢𝐨𝐧 𝐨𝐫 𝐛𝐞𝐠𝐢𝐧𝐧𝐢𝐧𝐠 𝐨𝐟 𝐛𝐞𝐚𝐫 𝐦𝐚𝐫𝐤𝐞𝐭❓ 𝐻𝑖𝑠𝑡𝑜𝑟𝑦 𝐴𝑙𝑤𝑎𝑦𝑠 𝑆𝑎𝑦𝑠 𝑊ℎ𝑎𝑡 𝐻𝑎𝑝𝑝𝑒𝑛𝑠 𝑁𝑒𝑥𝑡. Over the past weeks, or rather, since the beginning of this year, many investors have been confused and have seen too much volatility in the markets. From early this year, many analysts have constantly been warning about the correction of the market as well as the bear market. But what exactly are these terms, and what is going on? When will these fluctuations end, when will the market take a rising position, and when will this dizziness of buying or selling end? 📊 In this post, I have tried to address these terms and added historical and scientific evidence to them to show you a perspective on the near future. 𝑾𝒉𝒂𝒕 𝑰𝒔 𝑴𝒂𝒓𝒌𝒆𝒕 𝑪𝒐𝒓𝒓𝒆𝒄𝒕𝒊𝒐𝒏 & 𝑩𝒆𝒂𝒓 𝑴𝒂𝒓𝒌𝒆𝒕❓ A market correction is a downfall of 10%-20% of a major stock index like $SPX500 , $NSDQ100 or $DJ30 from a contemporary peak. If this fall is above 20%, call it a bear market. 📉 Since the Second World War until now, the S&P 500 has undergone 27 market corrections. On the other hand, the S&P 500 has more or less seen 12 bear markets in the same period. To understand the current situation, let's look at a few examples of these market corrections over the past decade: █ ▇ ▆ ▅ ▃ ▂ 𝗦&𝗣 𝟱𝟬𝟬 𝗖𝗼𝗿𝗿𝗲𝗰𝘁𝗶𝗼𝗻𝘀 >𝟭𝟬% 𝘀𝗶𝗻𝗰𝗲 𝟮𝟬𝟬𝟵 ✔ Jun 2009 - Jul 2009: -𝟏𝟎.𝟏% 🔍 Reasons: World Bank Negative Growth Forecast and Fears for the Market to Recovery after 2008 US and EU Economic crisis ✔ Jan 2010 - Feb 2010: -𝟏𝟎.𝟎𝟑% 🔍 Reasons: US Bank Regulation Plan and China's Lending Curbs ✔ Apr 2010 - Jul 2010: -𝟏𝟕.𝟏% 🔍 Reasons: Global Growth Concerns, Debt Crisis in EU, Flash Crash ✔ May 2011 - Oct 201: -𝟐𝟏.𝟔% 🔍 Reasons: Double-Dip Recession Fears, Europe's Debt Crisis, US Debt Downgrade ✔ Apr 2012 - Jun 2012: -𝟏𝟎.𝟗% 🔍 Reasons: Europe's Debt Crisis and Recession Fears ✔ Sep 2014 - Oct 2014: -𝟏𝟎.𝟐% 🔍 Reasons: Falling Oil Price, Ebola, Global Growth Concerns and Fears ✔ May 2015 - Feb 2016: -𝟏𝟓.𝟐% 🔍 Reasons: China Stock Crash, EM Currencies, Falling Oil Price, Sanctions against Iran and North Korea, Greece Default ✔ Jan 2018 - Feb 2018: -𝟏𝟏.𝟒% 🔍 Reasons: Fed Rising Interest Rates, Inflation Fears, $BTC Crash ✔ Sep 2018 - Dec 2018: -𝟐𝟎.𝟐% 🔍 Reasons: Fed Rising Interest Rates, Housing Slowdown, China Slowdown, Strong $ USDOLLAR ✔ Feb 2020 - Mar 2020: -𝟑𝟓.𝟒% 🔍 Reasons: Covid-19, Falling Oil Price, Global Depression Fears ✔ Sep 2020 - Oct 2020: -𝟏𝟎.𝟔% 🔍 Reasons: Covid-19, No New Stimulus Deal, US Election Fears ✔ Jan 2022 - March 2022: -𝟐𝟑.𝟐% 🔍 Reasons: Russia/Ukraine War, Omicron and other Covid-19 variants, Rising Rates, Fed Tightening, and Inflation Fears 🔑 𝑹𝒆𝒂𝒔𝒐𝒏𝒔 𝒘𝒉𝒚 𝒕𝒉𝒆 𝒎𝒂𝒓𝒌𝒆𝒕 𝒏𝒐𝒘 𝒊𝒔 𝒔𝒕𝒖𝒄𝒌 𝒊𝒏 𝒕𝒉𝒊𝒔 𝒖𝒏𝒔𝒕𝒂𝒃𝒍𝒆 𝒔𝒊𝒕𝒖𝒂𝒕𝒊𝒐𝒏: ♦Russia/Ukraine War ♦ Rising Interest Rates ♦ Fed Tightening ♦ $BTC Crash (Down more than 50% in less than 6 months) ♦ Surging inflation ♦ COVID-19 lockdowns in China ♦ Hawkish Federal Reserve policy ♦ A global economic slowdown ♦ Higher energy ( $OIL ) and food price 𝑾𝒉𝒆𝒏 𝒅𝒐 𝒘𝒆 𝒆𝒙𝒑𝒆𝒄𝒕 𝒕𝒐 𝒆𝒙𝒊𝒕 𝒇𝒓𝒐𝒎 𝒕𝒉𝒆 𝒃𝒆𝒂𝒓 𝒎𝒂𝒓𝒌𝒆𝒕? The answer to when we get out of this situation can be tricky, and we can safely say that no one has the correct answer for it. But history and past numbers can guide us to what awaits us after the end of this era. Based on historical market data, the S&P 500 has seen an average of gaining around 12%-14% a year after exiting market correction. And for shorter-term time frames, these numbers were also positive. History and numbers have always been a good guide for investors. We can continue to be positive and confident in what has happened in the past. ✍ Although the expectations indicate more inflation in the coming months, stocks will be beating bonds in the long term as did in the past, in my opinion. On the other hand, it is better to have a mixed investment plan and make sure entries are not above target price for higher-risk assets like Cryptos and small-cap stocks. Be patient and play the long game! 𝐵𝑒𝑠𝑡 𝑅𝑒𝑔𝑎𝑟𝑑𝑠, 𝓐.𝓗 $SPX500 | $NSDQ100 | $DJ30 | $OIL | $BTC *This post is not investment advice. Always do your research before any action. --------------------------------------------------------- 😍 ᴡᴇ ᴄʀᴏꜱꜱᴇᴅ ᴏᴠᴇʀ 3333 ꜰᴏʟʟᴏᴡᴇʀꜱ! Thanks for your Support and Trust. 💚 Good time to Copy me❓ During these days is the best time to 𝑪𝒐𝒑𝒚 𝒎𝒆 or 𝑨𝒅𝒅 𝒎𝒐𝒓𝒆 𝒇𝒖𝒏𝒅𝒔. We are still on the road to recovery. I am a long term investor with the post-pandemic approach and strategy.

5 Mentioned

SPX500

NSDQ100

DJ30

BTC

Bitcoin

OIL

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