The Lamensdorf Market Timing Report assesses the environment of the stock market using a variety of technical, fundamental and sentiment-oriented tools from powerful independent research firms. Many investors mechanically enter and depart the market without a true “game plan.” Studies have shown that retail investors, in particular, are very poor market timers, tending to invest at or near market peaks and sell at or near market lows. The newsletter is designed to provide risk parameters for both professional and retail investors around the short-term stock market environment, giving subscribers better insight about when to allocate assets into or out of the equity markets.
Major Risk Indicators Showing Historic Level of Investor Outright Panic Over Economy and Stock Market
Watch Out! Bear Markets are Extremely Volatile and Bear Traps For Unsophisticated Investors
The charts below of bear markets going back to 1929 show they are marked by extreme volatility with sudden surges amid longer term downward moves.
Investors’ Extremely Low Cash Balances Raise Red Flags for Stock Market
Biggest Cap Stocks in S&P 500 are Behind its Superior Market Performance: Watch Out!
More than 18% of the market cap of the S&P 500 is represented by only five stocks. That’s an historic high. And since those stocks, mainly in the technology sector are up so much higher than the broader markets composed of smaller cap stocks, the S&P 500 gives a distorted and more optimistic view of the performance of the market as a whole.