{"id":23459,"date":"2025-03-12T07:30:00","date_gmt":"2025-03-12T11:30:00","guid":{"rendered":"https:\/\/jeffclarktrader.com\/market-minute\/?p=23459"},"modified":"2025-03-11T10:58:57","modified_gmt":"2025-03-11T14:58:57","slug":"dont-puke-up-your-portfolio","status":"publish","type":"post","link":"https:\/\/jeffclarktrader.com\/market-minute\/dont-puke-up-your-portfolio\/","title":{"rendered":"Don&#8217;t Puke Up Your Portfolio"},"content":{"rendered":"<p>The best time to buy stocks is when the thought of doing so makes you want to throw up.<\/p>\n<p>We all know this is true. Buy stocks when everyone else is selling. Buy when there&rsquo;s blood in the street. Buy low, so that later on you can sell high.<\/p>\n<p>If we can step back from the action and approach the stock market without any emotional baggage, we know it makes sense to buy stocks when they go on sale.<\/p>\n<p>But, when we&rsquo;re stuck in the middle of the action, surrounded by everyone else who is selling, our emotions get the better of us, and we puke up our portfolio.<\/p>\n<p><script type=\"text\/javascript\">\nvar rnd = window.rnd || Math.floor(Math.random()*10e6);\nvar pid841532 = window.pid841532 || rnd;\nvar plc841532 = window.plc841532 || 0;\nvar abkw = window.abkw || '';\nvar absrc = 'https:\/\/servedbyadbutler.com\/adserve\/;ID=179197;size=0x0;setID=841532;type=js;sw='+screen.width+';sh='+screen.height+';spr='+window.devicePixelRatio+';kw='+abkw+';pid='+pid841532+';place='+(plc841532++)+';rnd='+rnd+'';\ndocument.write('<scr'+'ipt src=\"'+absrc+'\" type=\"text\/javascript\"><\/scr'+'ipt>');\n<\/script><\/p>\n<p>Lots of folks reached the hurling point on Monday. The S&amp;P 500 traded down to 5564. It has lost more than 550 points in just the past two weeks &ndash; giving up all of the gains since the Presidential election.<\/p>\n<p>Most folks couldn&rsquo;t sell their stocks fast enough. That&rsquo;s how desperate they were to stop the pain.<\/p>\n<p>That will likely prove to be a mistake.<\/p>\n<p>You see, just as buying stocks into overbought conditions is often a wrong move, so too is selling stocks into oversold conditions.<\/p>\n<p>The time to sell stocks was in mid-January when the S&amp;P 500 first closed above 6100. Technical conditions were overbought.<\/p>\n<p>The S&amp;P 500 was trading more than 100 points above its 9-day exponential moving average (EMA) &ndash; indicating an extended condition. And, we warned the risk to buying stocks was greater than the potential reward.<\/p>\n<p>That wasn&rsquo;t &ldquo;bearish&rdquo; commentary. It was merely a suggestion that the stock market would likely give folks a better opportunity to buy, and there was little to gain by chasing stocks higher into overbought conditions.<\/p>\n<p>Now we have the opposite situation.<\/p>\n<p><script type=\"text\/javascript\">\nvar rnd = window.rnd || Math.floor(Math.random()*10e6);\nvar pid841533 = window.pid841533 || rnd;\nvar plc841533 = window.plc841533 || 0;\nvar abkw = window.abkw || '';\nvar absrc = 'https:\/\/servedbyadbutler.com\/adserve\/;ID=179197;size=0x0;setID=841533;type=js;sw='+screen.width+';sh='+screen.height+';spr='+window.devicePixelRatio+';kw='+abkw+';pid='+pid841533+';place='+(plc841533++)+';rnd='+rnd+'';\ndocument.write('<scr'+'ipt src=\"'+absrc+'\" type=\"text\/javascript\"><\/scr'+'ipt>');\n<\/script><\/p>\n<p>The stock market has been falling hard for two straight weeks. Technical conditions are oversold. On Monday, the S&amp;P 500 traded as much as 195 points below its 9-day EMA &ndash; indicating an extended condition to the downside.<\/p>\n<p>In fact, conditions are now so oversold that the potential reward of an oversold bounce is greater than the risk of a continued decline.<\/p>\n<p>This isn&rsquo;t bullish commentary. It&rsquo;s merely a suggestion that if you were looking to buy stocks when the S&amp;P 500 was above 6100 last month, then now is a much better time to do so. If you&rsquo;re looking to sell stocks, then you&rsquo;ll likely have a better opportunity to do so a couple weeks from now.<\/p>\n<p>And, if any of this advice makes you queasy, then it&rsquo;s probably advice that&rsquo;s worth following.<\/p>\n<p>Best regards and good trading,<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/files.jeffclarktrader.com\/global\/signatures\/jeff-clark-signature.png\" alt=\"Signature\" width=\"200\" style=\"max-width:200px;width:100%\" \/><\/p>\n<p>Jeff Clark<br \/>\nEditor, <em>Market Minute<\/em><\/p>\n<div class=\"card card-body bg-light mb-4 mt-4\">\n<p style=\"text-align: center\"><strong>Free Trading Resources<\/strong><\/p>\n<p>Have you checked out Jeff&rsquo;s free trading resources on his website? It contains a selection of special reports, training videos, and a full trading glossary to help kickstart your trading career \u2013 at zero cost to you. Just <a href=\"https:\/\/jeffclarktrader.com\/\" target=\"_blank\" rel=\"noopener\">click here<\/a> to check it out.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The best time to buy stocks is when the thought of doing so makes you want to throw up.<\/p>\n","protected":false},"author":100,"featured_media":0,"comment_status":"closed","ping_status":"0","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"ep_exclude_from_search":false,"service":"","footnotes":""},"categories":[1],"tags":[],"publication":[10],"person":[7],"newsletter-type":[],"ticker":[],"class_list":["post-23459","post","type-post","status-publish","format-standard","hentry","category-market-minute","publication-market-minute","person-jeff-clark"],"acf":[],"_links":{"self":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts\/23459","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/users\/100"}],"replies":[{"embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/comments?post=23459"}],"version-history":[{"count":3,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts\/23459\/revisions"}],"predecessor-version":[{"id":23471,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/posts\/23459\/revisions\/23471"}],"wp:attachment":[{"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/media?parent=23459"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/categories?post=23459"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/tags?post=23459"},{"taxonomy":"publication","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/publication?post=23459"},{"taxonomy":"person","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/person?post=23459"},{"taxonomy":"newsletter-type","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/newsletter-type?post=23459"},{"taxonomy":"ticker","embeddable":true,"href":"https:\/\/jeffclarktrader.com\/market-minute\/wp-json\/wp\/v2\/ticker?post=23459"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}