There is a secular bear market here, says this money manager. These are the main steps that investors should take now.

“When the market is grappling with a lot of things at once, it’s generally a headwind, which means the more managers are condoning a lot of issues, the more they have to mitigate risk,” Ritchie said on Monday. Interview with Real Vision.

in our area Today’s callwarns of a Secular bear market The environment – where prices can fall below average gains for years – with solid advice for investors. Among his concerns, he noted that only 20% of Nasdaq stocks are currently above the 200-day moving average.

“I’m not saying we’re going to go down 10% in three days…but every time that happens, it happens in an environment like where we’re sitting where there’s been a distribution dominating the bar, we’re trading below technical areas of support and there’s a little bit of leadership.”

For retail investors in particular, there is another big topic to watch. “The market has reinforced some of the risk management strategies that I think are challenging and have been challenged over the past 18 months and I don’t think that’s over.” This common strategy includes buying on dips after market sell-offs.

“Over the past decade, everyone has slowly embraced this idea that maybe it’s the Fed that will bail me out, or TINA. [There Is No Alternative]List of casualties over the last year? He said obscure tech buyers, long-term stock traders who decided they didn’t need to use breakpoints with GameStop etc., or 60/40 managers who decided rather than reduce risk, bought More bonds.

He warned that bonds and stocks may continue to decline in parallel.

“How many people have been conditioned in the larger sense to say the Fed is backing me… as I see it the Fed is saying we are going to raise rates, we are going to raise rates more. In either of the two scenarios, we are going to withdraw liquidity… Now that is not generally speaking About the most upward core driver as well.”

In terms of safety, he has taken a small position on gold, but he wants to see the technical elements take shape better, but he sees an “bullish” setup for oil as nothing has changed in the supply and demand situation.

This especially comes in a strong seasonal period. “I think if we make new highs, that break has put some short trades back in, and there are enough people on the other side of the trade now that I think the break to the top could be more robust in the short term.” But a weekly closing of crude oil below 95 or 90 may mean that the “bear bears are under control”.

He’s been saying for months that investors need to raise money, and that’s still the case, even if indexes rebound. Because it is pointless to try to pick the winners now because the leaders in the next cycle may be different.

This cash gives investors the flexibility to bend with the market. “So you get a rallying effort, you put in a little bit of capital to work and then you build on success or failure,” he said. So, “dip some toes in” and then go “waist depth” if that works. This is the strategy he implemented after the lowest levels of COVID-19 in 2020.

Another thing: size matters. Rise attempts are based on the market closing volume above and above average after several days of decline, which means you get a subsequent buy… Every meaningful rally in the history of the stock market has had valid accumulation days coming or for several days after the bottom subsequent.”

Read: After an “ominous” signal late last week, Morgan Stanley’s Wilson says the market has “not bottomed yet”

commotion

GE GE,
-10.08%
Stocks are going down mixed resultsUPS UPS
-3.27%
rally on Profit and revenue beats3 million mm,
-2.35%
also earn Optimistic earningswhile JetBlue JBLU,
-7.54%
down as is Revealed plans to reduce capacity. Apart from Alphabet and Microsoft, GM GM,
-2.94%And
V visa,
-2.38%And
Chipotle CMG,
-4.53%
and Texas Instruments TXN,
-2.22%
Will notify after closing.

Twitter TWTR,
-2.00%
Founder Jack Dorsey seal of approval Waiting for Elon Musk $44 billion acquisition Messaging service, while other reactions appear split party lines. Amazon AMZN,
-3.82%
Founder Jeff Bezos has also compiled:

Opinion: Nothing seems to stop Elon Musk from owning Twitter

The White House will Expand Availability Of the Covid-19 antiviral pills Baxilovid. In China, mass testing continues as Beijing prepares for more lockdowns.

Fidelity becomes the first major provider of a retirement plan To allow bitcoin accounts in 401(k) seconds. This crypto BTCUSD,
-1.30%And
at the same time, Climbs.

as Russian forces Attempt to encircle eastern UkraineForeign Minister Sergei Lavrov warned of the dangers World War III and nuclear confrontation.

The data shows orders for durable goods Cut back for March And Housing prices are on the rise. Consumer confidence and new home sales are yet to come.

markets

stock DJIA,
-1.08%

SPX,
-1.55%

COMP,
-2.53%
less As the trading day begins, Treasury yields TMUBMUSD10Y,
2.746%
Continuing decline, oil prices CL00,
+ 1.64%

BRN00,
+ 1.62%
turned up. DXY dollar,
+ 0.31%
And He went
GC00,
+ 0.53%
Both are up. Asian stocks had a mixed day, with further weakness in China 300,000,
-0.81%.

graph

Watch Microsoft and Google results later to see where the stock is going in the near term, says Chris Weston, head of research at Pepperstone.

“Remember, they are both darlings of the US earnings season and have incredible proportions of overvalued, and they will really need to inspire their own perspectives to see real capital work in a ‘don’t fight the Fed’ market,” he told clients.

“Microsoft is particularly interesting, with the base building up to $270 – if this support breaks, it could cause another drop in stocks – unlike the bear case, the bulls want to see a move through the 50 day EMA. [moving average] ($293) and closing the gap from April 8 ($296) to indicate that the technology could indeed start to trend.

Indications

These were the most searched indicators on MarketWatch as of 6AM ET:

random readings

Sometimes you just need to marry your cat.

Finder: ruins ancient temple Dedicated to the Greek god Zeus.

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