All right welcome back everyone., I am lead trainer with StocksToTrade Tim Bohen.. Let's get right into it. Lot of talk of bear markets out there. Lot of I've, seen not to get into the whole fake news and blah blah blah, but I mean there's a lot of disinformation.

That's another hot button term out there these days., But I want to give you kind of the straight information on like what a bear market is what it means you know, statistically, what is a bear market? What to look for as well as trading opportunities and things to look for in the turning of that bear market? Okay, So obviously, today I'm recording. - We are basically at well got a little bit of a bounce, but you can see I've got a one year chart of the S & P 500.. Again, I've done several videos.. I like to use the S & P, simply because it's a representation of the 500 biggest stocks out there..

The Dow is great. A lot of people use the Dow, but something a lot of people don't realize is the Dow is only 30 stocks.. So I like to use the S & P 500 when I talk about the market. And then you'll hear a lot of people talk about the queues, the NASDAQ love that, especially because most of the stocks we day trade, these wild movers are NASDAQ stocks..

But when we talk about the queues, it's very tech, heavy, heavily weighted to the Apples and the Facebook, the fame stocks - you know the Googles, so very tech heavy. So doesn't represent. In my opinion, the overall market.. That's why I use the S & P.

500.. So again, as you can see this morning, we actually touched 52 week. Lows. Got a little bit of a bounce for right now, but that shows you where we're at., You know you go back to the high was marked on January.

4Th 2022 January was ugly February March, not bad and then late April and then May has just been a disaster as you can see. I mean this is a one year one day chart you're looking at here.. So let's start out with definition, definition terms.. What marks a bear market - And that is when stock prices are declining, marked by a 20 % or more decrease over two months from the previous highs.

And again I mentioned that January 4th high, and here we are again it's mid-April and you kind of go back To right here with March. So last, two months March, high for 62 on the S & P ETF and then here we are basically at two months lows from March through April to now mid-May. The other thing you know, so that's the math. Okay, That's the statistics that mark a quote: unquote: `` bear market''.

Now what are the other things that mark a bear market? The things that truly matter in my opinion and number two is investors/traders, feel panicked and pessimistic.. So if you're on StocksToTrade Advisory click that link below., I'm live every morning, 8:30, Eastern but you'll, know, and this will again, if you're on StocksToTrade Advisory, you probably know what I'm about to do.. Every day. The last few weeks I've been doing this index.

Okay, My arm is like the needle on the VU meter. Okay, So you got fear over here. You got greed over here and we've been really leaning on that fear. Side..

You think back to last couple years: 2020. 2021. I mean that, if red over here on the greed side, I mean that needle was breaking the peg on the red side of greed., I mean chasing chasing buying any dip, adding to losers. All that madness that we talked about through 2020 and 2021, which was incredible..

I mean again never seen a market like that.. You know. I've talked about the explosion in 2016, 2016 to 2020 wild, but then everything changed in 2020. And you could check out the podcast SteadyTrade Podcast..

We still got all those episodes, almost 200 episodes where we talked about that a lot and that market shift., But again that needle has swung back the other way and we're really looking at a lot of fear, right, now. And nobody's buying the dip. You know Nobody's adding to loser. Well, losing traders are adding to losers.

So, especially in day trading. We like the dumb money. We like people adding to losers, ,'cause that creates those first green day balances on these down. Trending stocks..

You know secondary fluffy press releases.. I mean all that., So ultimately, it's not out there. You know We're really leaning towards the fear side and probably justifiably so. I mean at the end of the day, another StocksToTrade Advisory reference.

I've been challenging people the last couple weeks. And if you know me, if you watch the videos, I am a very optimistic person and I lean towards optimism but something I've been saying. I've been like somebody gim me some good news. You know I keep begging for like a macroeconomic good news.

Idea.. You know oil prices exploding, food prices, exploding situation in Ukraine, lingering pandemic inflation. You know just potential world war. I mean it's just the list just goes: on.

Housing prices exploding, people not being able to afford the rent people not being able to buy a house mortgage rates going up. I mean geez, oh Pete. Drop me a comment.. Has anybody got any good news? Hey sun came up today.

There you go. There, you go. Stay on the sunny side of life. Tim.

The sun rose today and it'll rise again. Tomorrow. Might be nothing left, but the sun will come up tomorrow.. So anyway, that's where we're at on the fear side..

The other thing is it's remember. The stock market is a reflection of the economy. And ultimately, when you know I mean you think back to the post market, you know the housing collapse back in 2007 2008. I mean again: production exploding, innovation everywhere, I think about like the innovation of Tesla and electric cars and and software and computing and iPhones., I mean remember the iPhone didn't exist..

Well, I think the iPhone came out 2007 roughly, but I mean you think about all of these changes, all the explosion of apps and good or bad. Think of the innovation in the last 10 years. Software hardware - production., I mean again it is an incredible time. The last 10 years, but that isn't out there right now., I mean again you're, seeing many of you probably know you might drive by a a local small business that is closing the doors because they can't get widgets or supplies to build their widgets, or maybe they Can't get employees, you know, I mean that's a big thing around where I'm at.

A lot of the business reduced hours still'cause, they can't get workers. And the market reflects that.. The market is driven by optimism and the market is driven by the money, supply and interest rates starting to creep up and people are starting to pull money out of the market to pay down their mortgage because the rates are going up or pulling out cash flow. To buy that $ 5 gas., So that's what a stock market or what a bear market is and what contributes to it..

Now, what I'm gon na end with my friends is some optimism beyond the fact that the sun came up okay, So one thing I want to talk about is think back. If you know my bio a little bit, maybe you do. Maybe you don't. I actually got started trading in 2007 because of the market crash.

Okay, So I had been trying to trade real stocks for literally decades. Okay, Going back 2007, I would've been 33 years old, Yeah yeah yeah., Roughly 33 35 years old. And I had a business. I had some money in retirement accounts and stuff and 2007 happens., I'm like.

What's going on, Look at my retirement accounts. Look at these IRA.. I had 401ks., I'm like you know, and I had tried trading real stocks and never really made a dent and then started trading penny stocks. And I am telling you 2007 2008.

The opportunities in penny stocks was unreal.. Meanwhile, I mean my 401k and my IRA keep going lower and everyone's on TV and everyone's on the news saying the world's ending and all of a sudden. My trading account is doing amazing'cause. I recognized the extreme volatility.

And I wan na bring up a stock CYN yesterday.. This was probably the best play of the day. And you might be familiar with CYN.. This thing gapped up back in April, gapped up from one to two and proceeded to put in like eight green days in a row on its way to six bucks.

Okay, Now yesterday I mean we talked about this one on StocksToTrade Advisory in the morning I'm like if this thing breaks 4.50, it's gon na go breaks 4.50 and last night in after hours it almost touched. Six. Okay, I mean listen, you're, never gon na nail. The bottom you're never gon na nail, the top, but that just shows you the power., I mean: listen, you make 50 cents or a dollar a share on a predictable new move..

We talked about this one at 8:30 Eastern., It broke 4.50 an hour and a half later. Okay, That's a move in advance when you're talking a low float stock. That's hung around., So these setups are there.. I mean RDBS there's so many of these out there that continue to run and everyone's overlooking them..

So that's my thing., Listen swing trading quote: unquote, `` real stocks''! It's been ugly out there, but every day we got a big runner every single day. Multiple big runners. Check out StocksToTrade Advisory.. We talk about'em every single morning.

That being said, stay safe with those stocks with the real stocks.. Listen if you're swing trading, anything right now we need to talk.. You need to watch more videos. Okay, If you are a swing trader, if you are a blue chip trader just go to cash, wait it out focus on your job..

Happy times will be back. All right have a great day. My friends. Stay safe.

Bull market to be back.. I don't know about this week.. I don't know about this month.. I don't know about this year again and listen, I'm Mr.

Optimism, but we need a significant change and I've talked about this. Maybe tomorrow the situation in Ukraine is fixed.. I mean again. I know that's not gon na happen that simple, I'm not oversimplifying, but somebody waves, a magic wand and there's peace in Ukraine and Russia, we'll be back.

Or again, inflation. Something happens to get inflation under control. Stay safe until then focus on day trading and penny stocks are lit.. We'll see you next time.