RE: Toff's Request for Predictions28 Feb 2021 08:37
Baff
"I predict that a market correction will devastate some fairy tale stocks while solid, predictable, boring, unremarkable shares survive."
I gave a lot of thought to the market correction impact of on AZN, SSK and BAE. The question is what would it be the catalyst of the market correction, would it be due to a Treasury yield increase or the traders realisation that no more money could be made by being stacked in high SP's.
If it is the former that it will be a capital outflow from high SP to bonds, with the effect you mention, BUT if it is the later then the traders will look to forge synthetic volatility moving money from the unreasonable high SP into the undervalued SP to normalise them with the opposite effect raising AZN, GSK, BAE.
IMO