January 15, 2016 2:03pm
Don’t panic … HOLD!
WHY … it’s the algorithms <machines> selling. Subscribe or take your losses without complaining …
Investors suffer from the paradox of information overload. If you have a smartphone in your pocket, you can access more information about the financial markets than the world's top hedge funds did 20 years ago. Yet, I bet your investment returns have not improved one iota as a result. But, who is interpreting that information … get it here!
U.S. stocks traded sharply lower Friday after a slew of disappointing U.S. data, a fresh plunge in oil, taking it below $30 a barrel and a sell-off in Chinese stocks added to mounting concerns about slowing global growth. The S&P 500 struggled to hold above its August low of 1,867. The index briefly fell 3.5% in midday trade to below that level, to its lowest since October 2014.
The NASDAQ is DOWN at the mid-day -147.03 or -3.20% to 4,603.33 and the DOW is DOWN -438.63or -2.68% to 15,940.42.
The stem, cell and gene therapy RegMed (SCGT&RM) sector opened and stayed negative to the mid-day (of 43 covered companies).
- I attribute today’s gains to extremely oversold conditions …
Investors need to understand more about “our” universe and its patterns of movements!
- We are suffering some technical damage but, what worries me is this systemic lack of confidence.
My fear gauge or the CBOE Volatility Index (VIX), widely considered the best gauge of fear in the market traded
· Friday traded at 30;
· Thursday traded near 24;
· Wednesday closed UP near 25;
· Tuesday traded DOWN to 22.5
· Monday traded near 24
A day in the life of the stem, cell and gene therapy RegMed (SCGT & RM) sector – the advance/decline line scenario …
- Friday, the stem, cell and gene therapy RegMed sector opened negative with an A/DL of 5/37 and 1 flat as compared to yesterday’s 6/35 and 2 flats. The mid-day stayed negative with an A/DL of 4/38 and 1 flat as compared to yesterday’s 29/14 and 0 flat.
Dosing the sector – what a day for the 43 Patients:
- The sector opened: NEGATIVE with 37 decliners, 5 advancers and 1 flat;
- The mid-day (12:30 pm): stayed NEGATIVE with 38 decliners, 4 advancers and 1 flat;
Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice.
Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors. All investments are subject to risks. Investors should consider investment objectives.
Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.