Dow Industrials down 7 consecutive days & futures point to another down open while FANG-driven Nasdaq continues to hit records. Dow 2000 points down from late-Jan. peak (S&P peak too). My May 4 newsletter subsection title: "In the First Phase of the Bear, Tech Investors Rotate"
From that section: "Since most tech investors in the first phase of the bear are not anywhere near ready to abandon tech stocks(that will come later), they'll do what they've done in the past...rotate into the "invincible" tech stars." Happened in 1990,2000 & 2007(prior 3 bears)
Since the "invincible" tech stars continue to hit records, few notice the broad deterioration in overall stock mkt. The bulls don't see they're already several months into a bear market - this time driven by the obvious catalysts of higher interest rates, QT, & a global trade war
And they'll do one more thing: they'll verbally abuse anyone who has the temerity to stand up and declare: This emperor has no clothes - all the classic signs and catalysts of a (long overdue) bear market are in place - and you're ignoring them. Well, consider yourselves warned.
