Despite a small bounce rally, the major stock market averages are in uncertain territory.
Many investors are stuck thinking about whether this is a buying opportunity or something more bearish. Patience is probably the key here.
Why? Well, there’s an index of 50 stocks telling us to be patient. That is the IBD 50 Index by Investors Business Daily. These 50 stocks show a blend of strong fundamentals and relative strength.
BUT, the index has been weak (mirroring what we are seeing in many stock indices).
Note that the following MarketSurge charts are built with Investors Business Daily’s product suite.
I am an Investors Business Daily (IBD) partner and promote the use of their products. The entire platform offers a good mix of tools, education, and technical and fundamental data.
IBD 50 Index Chart
The price action speaks for itself. Price is below all 3 moving averages. Again, patience here.
Twitter: @andrewnyquist
The author may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
