What History Can Teach Us About Finding Market Bottoms

“Hope springs eternal” – first coined in 1733 by Alexander Pope in his poem, An Essay on Man – has become a common phrase to describe one of man’s best characteristics…

Even in the bleakest of situations, humankind has always displayed incredible determination and a belief that better days are ahead.

Through war, famine, plagues, and more, tough times strengthen our resolve that things will eventually start looking up.

And right now, the COVID-19 outbreak is testing our hope.

Traders and investors are no exception. After more than a decade of good times during an historic bull run, the crash caused by the coronavirus outbreak feels like a huge gut-punch. The market’s original record-breaking nosedive had everyone from giant institutions to those with the smallest of portfolios searching for a bottom. How fast was that drop? 22 days. Here’s how that compares to the fastest drops of all-time:

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And now the biggest three-day gain in the Dow since 1933 has given a glimmer of hope and an endless debate about if THE bottom is in.

Whether you think Monday’s bottom is the bottom or not, the news on the coronavirus front is still daunting.


And history is not on the side of the bulls


Why This “Bottom” Will Eventually Fall Out from Underneath Us

Things are somewhat looking up for the market today, with the Dow up over 5.5% at the moment.

After all of the doom and gloom over the last few weeks caused by the coronavirus outbreak, people are desperate for any good news, and investors are eager to find a floor to the market.

But it’s that bias that may be causing a Reality Gap between what people are hoping for in the market, and what is actually happening.

History can teach us a lot about how markets behave during similar crashes, and in today’s market update video, we’ll discuss what to expect. I’ll show you exactly why this data, in combination with the data about COVID-19 infections, should give us pause before declaring that we’ve hit bottom.

I’ll also be giving you my analysis on six different stocks – two which you should be avoiding like coronavirus, and four that are worth taking a look at right now.

Click below to watch…