Bias is the single biggest trap that the market has created for investors in 2022. Bias is a mental thing. Markets in 2022 are playing a mental game. As explained in 7 Secrets of Successful Investing bias is always a challenge, but it is probably the single biggest challenge in 2022. The entire world expects a recession to hit. We are saying, the recession hit the market a long time ago but it is one ‘in disguise’. Because of this bias the vast majority of investors is not going to be able to see the bullish reversal that is in the making on the Nasdaq chart, driven by an even larger bullish reversal on the Apple chart. As per our 2023 forecasts, markets will resolve higher (not lower) as we head into 2023.
We recommend readers to go back and read our recent work, all of them very accurate readings:
We are here, telling you, the Nasdaq is bottoming and is working on a long term bullish reversal.
The chart says it all, but only to those that are able to look in an unbiased way.
That’s the problem, at least 90% of investors are so biased that they can only see a bad outcome. Anyone who is able to look with an open mind will see the bullish reversal with a major bear trap on the Nasdaq chart.
Below is the daily Nasdaq chart.
The structure created since May of this year is 75% of a bullish W reversal. What’s equally important is that the right leg of the W structure is being created at support of a 10 year rising channel (green shaded area).
This is strongly (!) bullish, make no mistake. Again, only for those that are able to look at this in an open minded way, without bias, which is one of the toughest simple things to do when you are holding positions in markets.
In our Momentum Investing service we tipped 10 hidden gems on Sunday and selected our top 4 stock selection (most of them on the Nasdaq) that are worth buying at this very point in time (but not later).