Yeah, they’re tossing everything they’ve we’ve got at markets. Lloyd Bridges' line from the movie Airplane may be what we all need right now, eh?
With markets deeply oversold, we rallied mightily on the backs of coordinated efforts from global monetary authorities. So that’s the bottom then, right? Well, one day doesn’t make a trend. But it’s enough to get out of their way. There’s no sense rope-a-doping unless you’re really stubborn. We’re flat, thankfully, but then tomorrow’s another day.
From the headline you might think this was a 90/10 positive day as shorts were squeezed, but I can’t confirm that based on the data I’m seeing. The only flaw is that volume isn’t as heavy as previous sell-offs. But, no matter how you slice it an 11% plus up day is spectacular and that will be the headline. I believe the day after Black Monday 1929 was up 12.24% and the next day up 5.82%. But it’s different this time, right? The media will headline the points gained, which is understandable.
On all the following “weekly” charts please note that the RSI [Relative Strength Index] had been below 30, which is just one indication of the severity of oversold conditions. But, as of today anyway, that condition has been relieved in most market sectors. Now why didn’t I highlight that? I forgot and am not going to redo them all because I’m lazy.
