Tag

Implied Correlation

All articles tagged with #implied correlation

"Stock Market Faces Critical Shift: Small Caps and Bargains in Focus"

Originally Published 1 year ago — by Seeking Alpha

Featured image for "Stock Market Faces Critical Shift: Small Caps and Bargains in Focus"
Source: Seeking Alpha

The S&P 500 is facing extreme conditions, being technically overextended and fundamentally overvalued, with historically low implied correlation and rising realized volatility. These factors suggest caution as the market may be nearing a breaking point, potentially leading to increased volatility and a market pullback.