Stocks: Where Do We Go From Here? | Seeking Alpha

Stocks: Where Do We Go From Here? | Seeking Alpha



Eric Parnell has written an outstanding article on what lessons we can draw whenever the S&P 500 breaks its 400 day moving average.  This type of correction cannot be taken lightly, and we may have further downside ahead in spite of recent rallies.  I believe the current stock market volatility resembles 2011 to a certain extent, but the Federal Reserve is almost out of bullets to fix the 2015 problem.  If rates are raised too quickly, the housing market will crash along with other businesses.



In addition, commodities are unstable now, especially oil and natural gas.  Moreover, I read a recent article that the smart phone market is starting to decline, and this will affect Apple and all its chip suppliers.  Then, finally, many other stocks are out of gas, too.  This is probably a time to sell the rallies.  If I figure out a reliable trading pattern, I will post it.  In the meantime, my biggest holding will remain PFF, the preferred stock ETF which pays 6% annually in monthly installments.