Emotional Investor
13:30

Hmmmm, so the question posed is, is Ai a dead cat bounce. I have actually experienced a dead cat bounce. it was way back in the share market crash in 1987. By all means look that up. The initial crash was insane. Black Friday I think we called it. in one day if I recall correctly the market dropped 25%. It was a wee while ago, So the details are sketchy. but I was fine, until I wasn't. I'd sold my biggest stake in a couple of companies a few days prior to the crash. So about 50% of my portfolio was liquid. Come Monday stocks recovered and I pulled the trigger on the new stocks I wanted to buy. From memory I think the market recovered about 5% to 10%. On Tuesday, the market dropped about 50%. That my tiger friends Is a dead cat bounce!

From there it just kept getting worse. And it did not recover. Turned out there were a lot of very dodgy companies like gold corp for eg that was holding gold in vaults, but there was no gold, or vaults. Equity corp, that sadly held equity in other businesses that essentially lost 75% of their value. It goes on and on. It was all a sham, there was very little regulation, the dead cat bounce happened because the market was corrupt. And that screwed the stock market for a few years. 

But that was then. To make a trade, you had to call your broker, a trade had a minimum fee of omg $40 plus odd lot fees if you didn't buy at least 1 whole share. And the only way to find out the price of your stock was to buy a newspaper to see yesterday's close. There was no internet, no cell phones, only land lines. Companies used to snail mail out annual reports. To analyze different companies you needed to wait for the annual publication of a book that summarized everything. 

And back in 1987 well the stock market was the Wild West, and it crashed economies. 

Fast forward to 2026. Is there corruption? Hell yes. But the machine is very different. Let's get back to Ai stocks. this is not a dead cat bounce. It's not even close. It's an opinion at best, without any concept of lived experience of an actual dead cat bounce. 

I have actually sold out of my chip stock positions in $NVIDIA(NVDA)$  and $Advanced Micro Devices(AMD)$  in tiger. locked in nice profits, But brought them back in my retirement account. $Alphabet(GOOG)$   and $Amazon.com(AMZN)$  same deal. Not doing it because they suck. I am doing it because volatility in tiger creates margin calls. Just swapping out way to much volatility in tiger on margin for plodders. 

I obviously have very volatile stocks in tiger. I have call options too and margin. So tiger gets my plodders. To balance the volatile ones. The other brokerage gets my volatile stocks that have no margin. But I maintain volitile ones in tiger, with margin balanced with the safe.

I suppose as an investor, you kind of need a tool kit. Tiger is amazing 

After $1T AI Rebound: Dead-Cat Bounce or Real Turn?
After last week’s AI-led selloff, US equities staged a $1 trillion rebound, with the S&P 500 posting its best single-day gain since May. Yet confidence remains thin. Implied volatility is still elevated, trading volume ran ~13% below average, and Goldman’s short-bias basket jumped ~9%, hinting the rally was driven by short covering rather than fresh conviction. Investors are struggling to price a murky US outlook while reassessing AI’s winner-takes-all impact, especially on software. Is the rebound a dead cat bounce? Would you add stocks now?
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