So there's a big fight coming where the market has to decide where to go next. The fight will be centered around $275-290 because Bulls have to decide if buying stocks near ATH is worth it. Bears have been getting short squeezed and they are angry because this thing should be going down but it isn't. The long bull rally can be explained by the slingshot effect, stocks dropped so hard that there had to be at least 50% retracement because there was no more selling for a period of time leaving bulls free to roam to the upside. but now we're in the apex of this whole price movement where bulls have to think long and hard if buying stocks at 2019 levels is worth it right now and this is where it gets interesting because is a fight that involves fundamentals and greed. Is a whole new world out there with high unemployment, travel/tourism damaged, and closed businesses. Do we come out of this? absolutely but its a fight about how much time we recover and move on from here.
IMO the bears will win and we'll probably hang in this a area for a while. Short term I do think Bulls will go to $290 because FOMO kicked in and the belief that everything is going back to normal.
IMO the bears will win and we'll probably hang in this a area for a while. Short term I do think Bulls will go to $290 because FOMO kicked in and the belief that everything is going back to normal.