Barry Ritholtz of Fusion IQ and The Big Picture blog — a longtime bear who presciently turned bullish in March — says the recent rally may only be two-thirds of the way done, and says not to underestimate America’s ability to develop new ways to grow. Ritholtz tells Yahoo! TechTicker that he sees nothing in the technicals that indicates the rally is on its last leg, and says that, based on history — which is no guarantee, of course — we may only be in the sixth or seventh inning of the rally. “Bottom line is this is a resilient […]
Barry Ritholtz — who presciently started turning bullish back in March — says much of the market’s oversold status has been worked off, but thinks the market could continue to head upward into the fall. Ritholtz, of FusionIQ and The Big Picture blog, tells Yahoo! TechTicker that mutual fund managers have gone from a very low average exposure to equities during the financial crisis back to the more invested levels at which they were back in October of 2007. “We’ve worked off lots of that oversold position,” he says, “[But] it’s not a sign the rally is over. It’s a […]
Barry Ritholtz of Fusion IQ and The Big Picture blog thinks the talk of a housing recovery and a general economic recovery are very premature, and that what we’re experiencing now is relief that we avoided financial Armageddon — not real forward movement. “When I hear the word soar,” Ritholtz tells Yahoo! TechTicker in discussing reports of May’s supposedly “soaring” housing starts, “I think of eagles flying in the sky, not, ‘We were at ankle height and now we’re at knee height. That’s not exactly soaring. … The good news is the free fall has more or less stopped and […]
Barry Ritholtz of The Big Picture blog writes that investors need to remember three things as they consider whether the current stock surge is a bear market rally, or the start of something bigger: Follow the Playbook: Ritholtz writes that “the smart investor’s playbook is very different in bear markets than bull markets”. In bulls, you buy the dips, and “lower prices are an opportunity to buy into equities at cheaper valuations”. Buy & hold is the simplest and most cost-effective strategy in these times, he says. In bear markets, he adds, you sell on the rallies. “Buy & hold […]
Barry Ritholtz of The Big Picture blog and FusionIQ is the latest well-known bear to turn bullish, notes Yahoo! TechTicker. In an interview with Aaron Task of TechTicker, Ritholtz says that the market has reached levels at which he’s seeing a lot more upside than downside. “If you’re a long-term investor, at the very least you should be making a wish list” of stocks you’ve been wanting to own but which may have been too expensive in the past.