Stock Market commentary for Feb 1-5
The stock market started off this week with a upward bounce based on extremely oversold levels. I’m not surprised to see this upward bias (at least for now) but the main uptrend has been broken so we should expect the downtrend to resume shortly sometime this week. The main thing we are watching this week is the Employment situation on Friday. If the jobs number doesnt show any signs of improving and the unemployment rate doesnt go down then we will see a continuation of this downtrend.
Traditionally, February is not a good month in the markets. We expect to see a correction continue in February and the best way to play this is to look at buying the inverse etf’s. For those who arent familiar with exchange traded funds (ETF’s), please download our free ebook on our website at www.activetradersacademy.com. These inverse etf’s go up in value when the stock market goes down. Enjoy.
