Weekly chart shows massive divergences on RSI.
While in March the drop was caused by liquidity problems, in August it could be for fundamental problems:
-IMF just published today World Economic Outlook. Expect GDP growth to be -8% for US in 2020. Europe worse.
- Potential second wave of COVID.
- 30% delinquency on mortgage payments and loan defaults coming.
- SME potentially going bankrupt.
- Pension funds and mutual funds rebalancing portfolios and realising massive gains from stocks will cause a 5 to 10% drop which could spark panic selling from retail.
Lets see if FED printer can stop this...
While in March the drop was caused by liquidity problems, in August it could be for fundamental problems:
-IMF just published today World Economic Outlook. Expect GDP growth to be -8% for US in 2020. Europe worse.
- Potential second wave of COVID.
- 30% delinquency on mortgage payments and loan defaults coming.
- SME potentially going bankrupt.
- Pension funds and mutual funds rebalancing portfolios and realising massive gains from stocks will cause a 5 to 10% drop which could spark panic selling from retail.
Lets see if FED printer can stop this...
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.