S&P 500 Corrects, Stimulus And Vaccine Hopes Lose Luster


On analysis of the movements of the , in different time frames, I find that the global equity markets seem to revolve around the currently prevailing uncertainty. The overvalued indices have already factored in a sustainable economic recovery.

The injections of trillions of dollars by the central banks around the world via quantitative easing to combat the coronavirus crisis impact seem to be creating an equity bubble, which could explode any time soon. The S&P 500 Futures tested a new high only due to growing hopes for fresh economic stimulus before the presidential elections.

U.S. Treasury Secretary Steven Mnuchin’s recent move could encourage others to follow this strategy at this crucial juncture, while the whole world has been passing through the fresh lockdown probabilities once again.

Disclaimer

1. This content is for information and educational purposes only and should not be considered as investment advice or an investment recommendation. Past performance is not an indication of future results. All trading carries risk. Only risk capital be involved which you are prepared to lose.

2. Remember, YOU push the buy button and the sell button. Investors are always reminded that before making any investment, you should do your own proper due diligence on any name directly or indirectly mentioned in this article. Investors should also consider seeking advice from an investment and/or tax professional before making any investment decisions. Any material in this article should be considered general information, and not relied on as a formal investment recommendation.

Disclaimer: This analysis is purely based on the technical observations. I do not have any position in Natural Gas. One can create position in Natural Gas at his/her own risk.





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