Is the Market’s Decline a Buying Opportunity?

Posted On May 10, 2019 12:29 pm
By: Steve Smith

The stock market declined 3.5% this week; by far the worst 5-day performance of the year. Investors are now wondering if this a buying opportunity, or the start of a larger decline?

The proximate cause for the selling is the unraveling of the trade deal with China, which is now resulting in higher tariffs. But after a nearly straight line rally of 25% from the December low, the market was due for a rest and some sort of pullback.

To figure out if this is a buying opportunity…

Continue reading at StockNews.com

Tagged with: stock market

About author

Steve Smith

Steve Smith have been involved in all facets of the investment industry in a variety of roles ranging from speculator, educator, manager and advisor. This has taken him from the trading floors of Chicago to hedge funds on Wall Street to the world online. From 1987 to 1996, he served as a market maker at the Chicago Board of Options Exchange (CBOE) and Chicago Board of Trade (CBOT). From 1997 to 2007, he was a Senior Columnist and Managing Editor for TheStreet.com, handling their Option Alert and Short Report newsletters. The Option Alert was awarded the MIN “best business newsletter” in 2006. From 2009 to 2013, Smith was a Senior Columnist and Managing Editor for Minyanville’s OptionSmith newsletter, as well as a Risk Manager Consultant for New Vernon Capital LLC. Smith acted as an advisor to build models and option strategies to reduce portfolio exposure and enhance returns for the four main funds. Since 2015, he has worked for Adam Mesh Trading Group. There, he has managed Options360 and Earning 360, been co-leader of Option Academy, and contributed to The Option Specialist website.