History's Take on Nasdaq Correction

You are receiving this email because you signed up to receive emails from True Market Insiders, rebranding to Sector Edge. [Unsubscribe here]( Keep the emails you value from falling into your spam folder. [Whitelist True Market Insiders](. Forgot your login information? Click [here](. [Image] Weekly Market Update Today is Jan. 22, 2022 Hey TMI Subscriber, The tech-laden Nasdaq 500 dipped 10.69% from its Nov. 19, 2021 high on Wednesday and officially entered into correction territory. It also fell below its long-term, 200-day moving average for the first time since April 2020. And, as investors and analysts often do, many opened their history books for a glimpse of what might be on the horizon. It’s highly possible we’ve entered uncharted territory with so many pandemic-caused anomalies in the economy and life in general. Still, as you’ve heard us say many times, “history may not repeat itself, but it rhymes.” So, what’s this latest correction tell us about the Nasdaq’s direction? Since its launch in 1971, the index has entered correction territory 65 times, according to Dow Jones Market Data. Of those dips, 37% have resulted in bear markets, or declines of at least 20% from a recent peak. Of those 65 times, the Nasdaq gained 0.8% the next week but weakened the following month. Once the index broke benchmark levels at three months out, it averaged gains of 2.2%. That’s over a 51-year period. What about recent history? After dropping 10%+ from its high on March 8, 2021, the Nasdaq rose for 24 consecutive weeks, or six months. At which point, in early September 2020, it corrected again. In both instances, the Nasdaq quickly recovered, offering great buying opportunities. So, do you use recent history or past history to dictate your next moves? Neither. You block out all the squawking, and let the technical indicators do the talking. They’ll steer you in the right direction and find ways for you to profit. And keep you out of harm’s way, unlike strategies that try to time it. One more thing, if you haven’t watched Chris Rowe’s webinar on a unique indicator that spots big money moves in the options’ market, [you can catch it by clicking here.]( Here are the most recent TMI articles. This Week in True Market Insider Jan. 18 - Jan. 21, 2022 [Technical Tuesday - This Ain't Sexy, But It Can Sure Boost Your Wealth — Chris Rowe]( Whether headlines focus on inflation, interest rates, or the Tech selloff, the mainstream financial media wants to keep you frightened of the future. [Chris Rowe tells you two ways to never be afraid again.]( [Play Defense with These Two Overlooked Funds — Tim Fortier]( Tim Fortier was right when he said that growth stocks would continue to sell off and with increasing downside momentum. He’s likely just as right about the [two funds capable of protection and profits]( he talks about here. 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[Click here to listen to a replay of Chris Rowe’s webinar.]( Related Articles [Stock market correction history and what past market declines can teach us]( [FRA: 5.8% Distribution Yield, Floating Rate Investments]( [More Americans seek higher-paying jobs, retire early during pandemic]( [Quitting is just half the story: the truth behind the ‘Great Resignation’]( [History Suggests Defense Stocks Will Surge In 2022]( Copyright © 2021 True Market Insiders, All rights reserved. Our mailing address is: 7901 4th St. N STE 6113 St. Petersburg, FL 33702 Want to change how you receive these emails? You can [change your preferences here]( DISCLAIMER The information contained herein has been prepared without regard to any particular investor’s investment objectives, financial situation, and needs. 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