Rick Reagan admits normally he’s a glass half full kind of guy. However, right now, when he looks at the stock market, he’s looking at it as a glass half-empty, but just by a little bit.
The stock market has risen dramatically since March, but over the past few weeks, stocks have weakened.
What stands out to Rick? Trading volume has decreased, which he says is normally not good for the market.
As trading volume has come down, it means the conviction in the stock market has decreased.
Rick says the market has come too far, too fast. Back in March, the market was undervalued, and folks saw it as a great buying opportunity.
However, since the market has risen 30 percent in three months, its time to pause and evaluate the market.
Rick says as summer hits, it’s normal for the market to be weak, with low trading volumes.
As the summer ends, Rick thinks the economic data will get better, and bolster the market.
By the end of the year, Rick thinks it will be a very good year for stocks.
