What will we do if we apply the “Buy The Dip” after correcting the indexes

After the slump in markets in recent days, the SP500 collapsed by over 4%, and against this background, a large number of investors are wondering what’s next now? Bloomberg’s analysis suggests that after a decline of at least 4% in one day in a period beyond the recession of the index leads to consolidation in the next one to two weeks. According to statistics, after a similar decline, the average yield in the next 12 months is 14%. Bearing in mind, however, the strong bullish sentiment, as well as the iron foundations behind stock prices, we expect the next 12 months to yield higher than average earnings.

Source: Bloomberg Pro Terminal

Jr Trader Petar Milanov

 Varchev Traders

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