Pain Relief

Did I call the market bottom? Lol.

No, I most certainly did not. But in my last post, I wondered when the pain would end. And talked about how the indexes trade within a channel either up or down over a period of time.

Almost immediately, we’ve had a week of relief with the stock market heading back upward despite bad news in stock earnings.

I said you’d make money if you bought the index when it broke out of its channel. All the indexes have broken out of their channel, so this might be the time to buy until the trend reverses.

These trends appear to last for weeks at a time. Past performance is not an indicator of the future, however.

Bank of Canada raised its interest rate by 0.50% today, which is lower than some people have predicted.

The Canadian inflation rate has been coming down, so it’s fair for them to see if that trend continues without having to inflict more pain on Canadians.

I don’t think the pain is over. I don’t think we’re at the pivot mark.

But if we can enjoy a market rally for a few weeks, that’d be ok too.