Moving Averages Act Like Gravity (7/31/23)

(7/31/23) Markets opened strong on Thursday but quickly sold off on news of the Bank of Japan's Yield Curve controls, which turned out ot be a false rumor. Then on Friday, the actual change by the BOJ was revealed to be a nothing-burger. The market rallied, but did not recapture the previous high. Markets this morning appear poised to open yet higher, but we're pretty extended, which brings us back to the fact that at some point there's going to be a correction: Markets cannot trade above a moving average forever. However, this is not a signal for panic selling. The outsized deviation between the markets and the 200-DMA can last for a while, but moving averages do act like gravity, and the further the deviation, the stronger the gravitational pull. And when prices begin to fall, those will be your buying opportunities. Hosted by RIA Advisors Chief Investment Strategist, Lance Roberts, CIO Produced by Brent Clanton -------- Get more info & commentary: https://realinvestmentadvice.com/insights/real-investment-daily/ ------- Watch the video version of this report by subscribing to our new "Before the Bell" YouTube channel: https://www.youtube.com/watch?v=CyFoTE0-tuE&list=PLwNgo56zE4RAbkqxgdj-8GOvjZTp9_Zlz&index=1 ------- Visit our Site: https://www.realinvestmentadvice.com Contact Us: 1-855-RIA-PLAN -------- Subscribe to SimpleVisor: https://www.simplevisor.com/register-new -------- Connect with us on social: https://twitter.com/RealInvAdvice https://twitter.com/LanceRoberts https://www.facebook.com/RealInvestmentAdvice/ https://www.linkedin.com/in/realinvestmentadvice/ #InvestingAdvice #MovingAverages #200DMA #BullMarket #Bearish #MarketCorrection #MarketVolatility #Money #Investing