Qullamaggie on Relative Strength Difference in Bear Market vs. Correction “Mild pullbacks, mild corrections in an uptrend, say 5, 7, 8 percent. Usually the stocks with the most momentum that have been showing resilience are the ones that tend to do the best. But during deeper corrections and longer... lasting corrections when you really have a lot of things that get beaten down. In those scenarios, it's the most beaten down names that usually do best in the first phase of the rally once you get a rally. Obviously it depends, just because the stock has been holding up doesn't mean it, has to go up when the market correction ends. It depends on the momentum. Like if you look at LI and XPEV, they're in big flags and every market dip, they just bounce back. So do your own thinking. During deep and long corrections, deep and or long corrections its the beaten down names that generally do best, at least the first part of the ensuing rally. But in the like 5-8% corrections in an uptrend, it's usually the ones that hold up the best. The last time we saw a good example of it was AMD and NVDA back in October, right? They showed resilience and then once the market pressure ended, just shot straight up. Two mega cap stocks. AMD went up 50% in a month and a half. NVDA I didn't trade, I passed on this one, but this one went up 60%.”show more

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