Hi, its' OXINION. the first quarter of 2018 has ended.
Since February and March have undergone tremendous volatility, we expect to refer from the first week of the overall market condition throughout April. In addition, the US and China are still undergoing a trade war tension, and tariff announcement remain until April 6. China Caixin Manufacturing Purchase Manager Index and US ISM Manufacturing PMI will be announced. As both indicators could come out well, we could expect the gap rise at early market opening.
we could assume that this week's economic indicators will be okay and the stock index will remain stabilize. at Tesla, recall for model S and autonomous driving car accident has been reported, and investment companies excluding Nomura are suggesting a downward target price by bringing up tesla bankruptcy probability so that’s why the stock price went down significantly last week. Also, Amazon is also seeing tax issues on the media. Therefore, the whole tech sector index was shaking.
It is still not a earning announcement season yet, and the Fear and Greed index is around 8, so it is good time to buy a single stock right now, or invest in an index may be an option. The VIX index fell below 20, but it is still difficult to enter the market due to the tention of the trade war. VIX historical average is around 19 or 20. counting from the low point, the VIX index rises slightly.
Now that there is a volatile market, you might not get into this volatile market as you do not want to take risk. But you need to act opposite way like when people getting panic, its time to buy and when the price goes higher by building bubble, then its time to sell. Even if you do not invest, I think it is better to keep it with a small amount of money in market so that you can continue to understand the market.
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Thumbs up if you think the market will be positive tomorrow Or down if it's going to be down.
*** this opinion can be changed. Decision making is 100% your responsibility.