June 28, 2016
Trades & Tutorials
By Geoff Bysshe
Based on the market’s rally last Thursday on the eve of the Brexit vote, it’s pretty safe to say that the majority of market participants were on the wrong side of the market Friday morning.
As a result, two or three big down days to follow would make sense, but the bigger question is whether or not Brexit will become the catalyst that will begin the next bear market. In other words, has the momentum of the bull market finally been broken?
We’ve seen only two down days, and today (Tuesday) there’s a big bounce.
So is that it? Did the market just digest the impact of Brexit in two days, and now it will recover?
Several country ETFs and sector ETFs have identified some pretty clear “lines in the sand” that will help define when the next big global market slide is likely to begin.
In this video I look at which areas of the market should rally if the last two days was just another quick decline, and which area of the market will likely indicate there are more big losses ahead.