Is buying the dip still the best strategy? The average return when buying the dip in the S&P 500 varies based on timeframe.
Within 6 months of buying a -10% decline, the average return has been +13% compared to a +4% return when holding stocks through the pullback and recovery. Within 12 months, the "buy the dip" strategy has returned a +22% gain, beating a +5% return with the buy and hold strategy. On the other hand, buying dips over a 5-year period has returned +33%, well below a +75% from simply holding. In other words, buying the dip has been a successful strategy during periods of market volatility.
The top 10 largest stocks in the world are now worth a combined $19.17 Trillion up from $18.18T last week
Source: Evan
China bulls are getting tired of waiting
Source: Bloomberg
Goldman Sachs strategists say stocks unlikely to sink into bear market
Source: Bloomberg
Ozempic is selling so well that an insurer requests USD 1 bn in payments back
Source: Bloomberg
US equities bull market => are you afraid to be too late to the party?
If history is any guide, you aren't. As shown on the chart below, history shows there is still rooms to go for this bull market in terms of duration AND magnitue. Source: RBC
$SPX The last two bullish engulfing patterns:
Today and May 31st. Source: Frank Cappelleri
Why Nvidia is a different story than Cisco in 2 charts...
Source: JPAM
