We've been in a huge bear market since February - nobody noticed

4 בדצמ׳ 2021

Ever wondered why your stocks keep going down although US Indices are at an All Time High?

Here is (most likely) the answer!

I've managed, with some degree of inaccuracy, to extract Nasdaq100 companies from the Nasdaq Composite Index.

This basically represents all stocks on the Nasdaq Exchange excluding Megacaps and SuperLareCap stocks.

The result is truly mindblowing - We've been in a huge bear market since February. During the last week, normal stocks have crashed with intensities not seen since the Corona Crash. 🔥




Disclaimer: The ratios used in the formula are just guesses - Tradingview doesn't provide any Index/Stock Exchange Market Cap data (yet). With those I could figure out the exact formula.

6 בינו׳ 2022

הערה

The bear market continues - but at least MegaCaps are diving now as well. A rotation might finally be on the horizon with the super hawkish FED.

I calculated some stats for the average Nasdaq stock last year (which can be applied to NYSE stocks in a limited fashion as well)

- 2021 Average return: -12,3%
- Average return since March: -20,0%
- Average Return since February High -28,7%

In fact, the past year has been the worst year for stocks since the 2008 financial crisis even though it looks like one of the best years by looking at MegaCaps and Indices. But don't be fooled by them. They mostly show how Megacaps are doing, not the overall market. 56% of all stocks currently trade below their 200MA.