In the past two trading days, global markets have seen new recent lows. The vast majority of exchange traded funds are below their 50-day moving average. In addition, most ETFs have hit our recommended sell point by either declining 8% off the most recent high or are below their individual 200-day moving average.
As an individual investor who may not have an exit strategy, this type of market can take a toll on emotions. The easiest way to take control is to sell now and regroup. This way you’re protected from further declines.
At one point the market will recover and once again rise above their long-term trend lines. The worse that can happen is you end up buying back in at a slightly higher price.
Investing can be emotional when one doesn’t have an exit strategy.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.