The Talking Heads Can’t Make Up Their Mind

The talking heads have flip-flopped again. [Jeff Clark's Market Minute]( The Talking Heads Can’t Make Up Their Mind By Jeff Clark, editor, Market Minute The talking heads have flip-flopped again. Last week, just about all the folks spouting opinions on financial television were bearish. It was the usual chatter: The market was falling. It’s October, a month that’s known to be difficult for stocks. Earnings season was expected to be weak. So the talking heads told us to sell. Recommended Link [Caught on Camera – Florida man leaves crypto crowd speechless…]( True story. Florida man walks into a packed crypto conference… Pulls out his phone… And then this amazing thing happens… [image]( [Click here to watch!]( -- There were exceptions, of course. A few analysts dared to suggest the stock market was starting to look attractive. Those analysts were promptly mocked and ridiculed. “SELL,” everyone said as the S&P 500 fell as low as 4219 last Friday morning. Yesterday, the index approached 4400. And the talking heads are now telling us to buy. They were quick to change the narrative: We’re in the timeframe for a seasonal, year-end rally. The earnings season looks better than first thought. The Fed is done raising rates. So, the talking heads all shout “BUY,” as the market trades 4% higher than when they told us to sell. Of course, there’s nothing wrong with changing your mind. When the facts change, our opinions should change as well. But these talking heads seem to have forgotten the most important, and simplest rule of investing in stocks: “Buy low and sell high.” As traders, we can expand that rule to read, “Buy into oversold conditions and sell into overbought conditions.” So, last Thursday as the stock market was hitting new lows for its decline phase – and as the talking heads were advising to sell – [we suggested]( traders should fight their emotions and buy into the oversold conditions. However, [on Tuesday]( we warned that the first bounce off the lows would probably be short-lived. Maybe now, as the talking heads have flip-flopped and are advising to buy stocks, it’s a good time for short-term traders to sell. Take a look at this updated chart of the S&P 500… [(Click here to expand image)]( The S&P 500 has run up toward its 50-day moving average (MA) line near 4400. This is an obvious resistance level. The index is unlikely to break through that resistance on the first attempt. So, you can expect some sort of pullback here. Traders who bought stocks last week in anticipation of a short-term bounce should consider taking profits right here, as the S&P runs toward its 50-day MA. Free Trading Resources Have you checked out Jeff's free trading resources on his website? It contains a selection of special reports, training videos, and a full trading glossary to help kickstart your trading career – at zero cost to you. Just [click here]( to check it out. And traders looking to put money to work in anticipation of a year-end rally should buy into any decline toward last week’s lows. You’ll know when we get there because the talking heads will likely be telling you to sell. Best regards and good trading, [Signature] Jeff Clark READER MAILBAG Do you follow the talking heads? Let us know your thoughts – and any questions you have – at feedback@jeffclarktrader.com. IN CASE YOU MISSED IT… [In 20 years, this little-known trader didn’t have a single losing year…]( In his video, Market Wizard Larry Benedict reveals how to make all the money you need, in any market, using a single stock. [Click here to watch the video]( and get the name and ticker of the one stock that could put you on the road to financial success. [Click here to learn more.]( [image]( [Jeff Clark's Market Minute]( Jeff Clark Trader 55 NE 5th Avenue, Delray Beach, FL 33483 [www.jeffclarktrader.com]( To ensure our emails continue reaching your inbox, please [add our email address]( to your address book. This editorial email containing advertisements was sent to {EMAIL} because you subscribed to this service. To stop receiving these emails, click [here](. Jeff Clark Trader welcomes your feedback and questions. But please note: The law prohibits us from giving personalized advice. To contact Customer Service, call toll free Domestic/International: 1-800-752-0820, Mon–Fri, 9am–7pm ET, or email us [here](mailto:contactus@jeffclarktrader.com). © 2023 Omnia Research, LLC. All rights reserved. Any reproduction, copying, or redistribution of our content, in whole or in part, is prohibited without written permission from Omnia Research, LLC. [Privacy Policy]( | [Terms of Use](