WE REPEAT! BEWARE! WE AIN’T OUT OF THE WOODS YET!

” WE REPEAT! BEWARE! THIS AIN’T OUT OF THE WOODS”

By Gary Kaltbaum
@GaryKaltbaum
garyk.com
Fox News Business Contributor

We told you yesterday to beware. Major tops in the markets around the globe do not normally end after a few days down…albeit a big few days. Yesterday was kinda gross and now this morning, yonk!

We can elongate this or just be blunt. We will be blunt.

This is a bearish market for stocks of unknown price and time. Those that fail to heed the continuous bearish action will pay a price. Bearish markets do happen. We have not had a bear in over 6 years nor a drop of 10% in almost 3 years…all because of maniacal central banks. All major indices here and around the globe now trade below short, intermediate and longer term support. Leadership is nil. There are going to be vicious rallies. (We just had one!) But in bearish markets, they usually die sooner rather than later.

We have no clue how this plays out in time and price but we certainly know when to step aside. This is one of those times. Expect more volatility, more reversals both up and down (we may even get another one today) and a lot of noise out of central banks and others. Ignore the trees (the short term moves) and pay attention to the forest! (the multi-month top that was put in place.)

We are headed to Japan tomorrow. Our market is open from 1030 pm Japan time- 5 am. Yippee!