Markets aren’t sick by any measure…right?
They’re stronger than they’ve ever been if you look at record highs being made last week and the money flows into stocks and bonds.
It’s all good…right?
NO, it’s not all good.
This Capital Wave Forecast is your first warning. Markets are overly optimistic, have risen too far too fast, and are prone to a correction in the coming weeks.
This is exactly what could happen. But more importantly, this is what you need to do to prepare…
In Part III of my It’s All Good Until It Isn’t series on ETFs, I remind ETF investors of the pain and losses the August 2015 Flash Crash caused, make clear what really happened, and explain why it will happen again.
And, I offer advice on how to avoid the same mistakes and losses next time.
Because it will happen again.
Reminiscences of a stock operation gone bad.
The morning of August 24, 2015 provided the industry, exchanges, ETF sponsors, their authorized participants, regulators, and investors with their first opportunity to observe how market protections implemented in recent years would behave during times of significant stress.