BANK OF AMERICA: A wildly successful stock trading strategy is no longer working — and it signals that a bubble has burst
|04/11/2018||Posted by BusinessMediaguide.Com under General World News||
- An extremely successful and long-standing stock market strategy is no longer working, says Bank of America Merrill Lynch
- The firm argues its failure is symptomatic of a broader shift taking place in markets — one that could mean far more volatility.
For much of the nine-year bull market, the stock-trading strategy known as “buy the dip” was basically synonymous with “free money.”
That’s because, following any period of sharp weakness, traders could simply scoop up shares at bargain prices, and the market would recover.