A Lesson From Warren Buffett's Last Trade ←

 
August 6, 2020
 
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Lessons from Warren Buffett's Latest Investment
The story in markets this week is the same story we've been hearing since the bottom in March: Autopilot to the upside.

And that's despite catalysts that would have normally applied downward pressure -- like rising virus cases and worse-than-expected GDP data. These are both indicators that point toward a correction... eventually.

So, what lessons do we take from markets this week? And what does Warren Buffett's latest value investment in Bank of America tell us?

Get some knowledge

 
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One of the most important lessons I've learned over the past 26 years of trading is that the market always discounts everything known and always looks ahead.

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There's a major industry trend -- one the stock market spotted from a mile away -- coming right at us with the momentum of a freight train.

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A Double Bottom pattern is a chart pattern that describes the drop of a stock or index, a rebound, another drop to the same or similar level as the original drop, and finally another rebound. The double bottom looks like the letter "W" and signals a potential bullish reversal of an established downtrend.

 
 
 
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