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Strategies & Market Trends : ajtj's Post-Lobotomy Market Charts and Thoughts -- Ignore unavailable to you. Want to Upgrade?

To: Lee Lichterman III who wrote (57933)	4/26/2022 12:23:18 PM
From: ajtj99	2 Recommendations Recommended By Lee Lichterman III The Ox Read Replies (1) \| Respond to of 98688

When I see rates going up like this, I think about how it is going to slam private equity and LBO's. No more 8-10x cash flow deals when interest rates are 3-4%.

To: Lee Lichterman III who wrote (57933)	4/26/2022 12:26:25 PM
From: The Ox	2 Recommendations Recommended By ajtj99 Lee Lichterman III Read Replies (1) \| Respond to of 98688

Yes, Lee, very true and one reason why lower prices are very likely to continue for a while. I will say that the bearishness is also ramping up substantially and at some point, it will cloud the future at the worst possible time. Naturally, the underlying issues aren't the same but XBI is all the back to early 2015 if one looks at the price alone. So 7 years of the future has been discounted. There are more discounts on the way in plenty of sectors, so who knows where XBI's bottom may be found? Plenty of reasons why it could be in this area, price wise but no reason to think that a downtrend in the current market psychology will decide it's time to "turn up"....most likely, more Foo Fighers "breakdown".