Present and Probable Market Trend
12 Mar 2025
Neither the Dow Jones Industrials nor the Dow Jones Transportations have begun to establish a near term market bottom after the continuation of the intermediate downtrend that began at the end of last year. As I continually state, both Indexes must be in sync with each other to establish a trend or a change in trend. At the current time the trend is confirmed down. Use this time to evaluate current or potential investment opportunities.
During downturns such as this speculators should be in cash waiting for their next opportunity. Investors with long term core holdings should be building cash and waiting for the opportune moment to add to their position at a lower cost basis. Speculators try to take advantage of near term market situations suitable to their time frame. Investors should be holding their stock as a business and positioning themselves for lower cost acquistions in a business they believe is growing. Investors should also be using different techniques to generate ongoing income from their business. Like the say in the old police shows “Let’s be safe out there!”