Connect with us
Apply Now


How to Invest Smartly During the Bear Market

It is official: we are in bear market territory. What started with the crypto market’s gradual drop after a prolonged effort to surpass the $2.5 trillion resistance point, has now expanded to the stock and commodity market. With high inflation, global shortages, and interest rate highs becoming the norm, wealth management is becoming an increasingly pressing concern for many. Technology is making this easier than ever, allowing anyone to analyze the market and act on hard data.

While bear markets are known to generate anxiety in investors, making many of them flee, they also represent a unique opportunity. The famous expression “buy the dip” has a lot of wisdom to it, as those playing the long game can benefit even more than during a bull market. However, it all depends on predicting which companies or projects will actually bounce up. Here is where strategies like “Technical Analysis” play an important role, allowing them to identify opportunities based on price trends and patterns.

Unfortunately, technical analysis has historically required technical proficiency in reading charts and creating indicators, which makes it difficult for beginners. However, platforms like Lux Algo have emerged as a means to facilitate technical analysis by providing solid indicators and useful features for traders of all levels to make better decisions. Candle coloring, dashboard data, automated alerts, settings optimizer bots, support & resistance, and institutional activity, are only some of the features the platform offers.

Lux Algo is the brainchild of Sean Mack & Alexander Friend, who co-founded the Boston-based  company back in 2020 with the mission to bring clarity to “help people participate in financial markets smarter.” Over these 2 years, the company has launched a platform which works in tandem with TradingView’s powerful charting tools. By separating noise from meaning, the platform has made it easier for thousands of traders to deal with technical indicators.

As a community-focused project, Lux Algo has over 50 open-source scripts that can be audited by users to provide feedback, report bugs, and integrate with other platforms. This means that while Lux Algo has a strong emphasis on beginners, veterans can also integrate its indicators into their own toolbox.

Using tools like Lux Algo during this bear market is one of the best and easiest ways to perform technical analysis. While beginners might want to start with basic strategies like support & resistance, simple moving averages, and relative strength indexes, it is important to educate yourself to use more advanced indicators. If you are new to technical analysis, Lux Algo offers great resources ranging from introduction to advanced indicators.

However, performing the technical analysis (or any other form of analysis for that matter) is only a part of the equation. While these tools will allow you to make a sound prediction on how an asset will perform in the long term, they won’t tell you how to invest in them. If you are the kind of investor who is looking for short-term profits by day trading or similar strategies, you should avoid investing during the winter.

To increase your chances of making a profit in the mid and long term, the best any investor can do is stick to the basics: Diversify, keep up with the news, keep a cool head, reassess your risk profile, and stick to the investment plan. However, the most important thing is to be prepared for the worst, and as such, the best time to deal with a crash is before it happens.

Continue Reading

Copyright © 2022 Disrupt ™ Magazine is a Minority Owned Privately Held Company - Disrupt ™ was founder by Puerto Rican serial entrepreneur and philanthropist Tony Delgado who is on a mission to transform Latin America using the power of education and entrepreneurship.

Disrupt ™ Magazine
151 Calle San Francisco
Suite 200
San Juan, Puerto Rico, 00901

Opinions expressed by Disrupt Contributors are their own. Disrupt Magazine invites voices from many diverse walks of life to share their perspectives on our contributor platform. We are big believers in freedom of speech and while we do enforce our community guidelines, we do not actively censor stories on our platform because we want to give our contributors the freedom to express their opinions. Articles are not commissioned by our editorial team, and opinions expressed by our community contributors do not reflect the opinions of Disrupt or its employees.
We are committed to fighting the spread of misinformation online so if you feel an article on our platform goes against our community guidelines or contains false information, we do encourage you to report it. We need your help to fight the spread of misinformation. For more information please visit our Contributor Guidelines available here.

Disrupt ™ is the voice of latino entrepreneurs around the world. We are part of a movement to increase diversity in the technology industry and we are focused on using entrepreneurship to grow new economies in underserved communities both here in Puerto Rico and throughout Latin America. We enable millennials to become what they want to become in life by learning new skills and leveraging the power of the digital economy. We are living proof that all you need to succeed in this new economy is a landing page and a dream. Disrupt tells the stories of the world top entrepreneurs, developers, creators, and digital marketers and help empower them to teach others the skills they used to grow their careers, chase their passions and create financial freedom for themselves, their families, and their lives, all while living out their true purpose. We recognize the fact that most young people are opting to skip college in exchange for entrepreneurship and real-life experience. Disrupt Magazine was designed to give the world a taste of that.