The Art of FOMO - Bear Market Rallies vs V-shaped Recoveries
We are at the stage of a sentiment cycle where even the biggest bears are starting to believe in the possibility of a V-shaped recovery. The biggest unemployment and GDP decline in history, the entire global economy is in a shutdown mode, and yet stocks are acting likely the worst is behind.
Fast 20-30% rallies are common for bear markets. Ride them but don't forget to get off. "When the bear puts out honey, he is usually laying a trap".
Here are some of the ideas and comments I shared with subscribers last week: