Dead Cat Bounce vs. True Bottom: Where Are We Now?
After a series of declines, the market has become increasingly cautious about any rebound. Most people believe this is merely a dead cat bounce in a bear market, with further drops likely to come.
We may all wonder: what stage are we? Are we currently in “fear“ stage?
Analysts warn that despite that the fear and greed index indicate the sentiment is low, we haven’t seen the capitulation yet. That means the real pain is still ahead.
However, some argue that with Trump softening his stance on tariffs, the impact of tariffs on the market may lessen going forward. If a recession can be avoided, the market's downside potential might be limited.
CDN media
Investors are divided on where we are in the current cycle.
What’s your take?
Is this a dead cat bounce or have we already hit the bottom?
Where are we now?
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After a series of declines, the market has become increasingly cautious about any rebound. Most people believe this is merely a dead cat bounce in a bear market, with further drops likely to come.
We may all wonder: what stage are we? Are we currently in “fear“ stage?
Analysts warn that despite that the fear and greed index indicate the sentiment is low, we haven’t seen the capitulation yet. That means the real pain is still ahead.
Investors are divided on where we are in the current cycle.
What’s your take?
Is this a dead cat bounce or have we already hit the bottom?
Where are we now?
leave your comments to win tiger coins~
Recently, Trump's tone has obviously softened, and he no longer aggressively plays tariff cards, which is undoubtedly a good signal for the market. Don't underestimate this "emotional change", it is likely to be an important turning point for subsequent funds to reassess risky assets. Especially for some export-oriented enterprises, once pricing pressure eases, profit expectations will begin to repair.
But have we bottomed out? I think it's too early to say. * * This wave of rebound is more like technical repair + policy expectation-driven, a typical "dubious" rebound. * * The bottom is never confirmed by a positive line, but repeatedly polished over time.
But what is certain is: * * The downside is indeed shrinking. * * As long as the United States does not enter a substantial recession and the unemployment rate does not soar, there is a possibility that the market will form a "medium-term support" near the current position.
So my current strategy is: don't chase high, but gradually build positions. Pay special attention to those sectors with solid fundamentals and mistakenly killed by emotions, such as high Dividend energy, medical care and some technology stocks. It's not a big gamble at the bottom, it's a rhythmic layout.
We are not at the end now, but we are not on the edge either. It's time to stay awake, and it's time to take action slowly.
That said, I’m not fully convinced this is just a dead cat bounce. If Trump’s softer stance on tariffs holds and a recession is avoided, the downside could be limited. In that scenario, the worst may already be behind us, and the market might gradually recover as confidence returns.
Investors are divided because there’s a real tug-of-war between weak sentiment and improving fundamentals. Personally, I’m cautiously optimistic but staying flexible. It’s not a confirmed bottom yet, but I’m watching closely for signs of stability and leadership.
@Tiger_comments @TigerStars @Daily_Discussion
我們可能都在想：我們處於什麼階段？我們目前處於“恐懼”階段嗎？
分析師警告說，儘管恐懼和貪婪指數表明情緒較低，但我們尚未看到投降。這意味着真正的痛苦還在前面。
Not out of the woods yet.
Comment for coins @JiaDeName