Financial Markets woke up today shocked that Saudi Arabia announced that they would be cutting oil prices and, also, increase oil production. This announcement made oil have it's largest one-day sell-off since the 1991 Gulf War. To make things worse, coronavirus' global infections and deaths keep increasing - many U.S. States have already declared States of Emergency. Now, in regards to price trends, all are waving negative flags - Short-Term (21-day), Medium-Term (50-day) and Long-Term (200-day). It is important to report that, although not very fun, these types of market sell-offs (10% to 20%) do occur, on average, about twice per year. So, to experience this, is not completely out of the ordinary. The normal recovery time of a market sell-off, similar to what we are experiencing, will historically be somewhere between 100 to 200 days.
Our 'Strength of the Market' view is now: Weak