5-18-26 Momentum Meets Gravity | Before the Bell

Despite Friday’s sell-off, the market just completed its seventh straight week of gains since the April lows. Momentum has turned bullish again, but the speed and angle of this rally are creating growing risks beneath the surface.

In today’s pre-market update, we examine why sharp deviations from long-term moving averages matter, how the current rally differs from the 2023–2024 advance, and why correction risk is increasing as markets stretch further above the 200-DMA.

We discuss the importance of mean reversion, why extreme momentum can eventually create larger pullbacks, and what kinds of catalysts could trigger a correction this summer — including oil prices, economic data, consumer weakness, or deteriorating earnings expectations.

This is not a call to panic or move to cash. It is a discussion about risk management, market structure, and understanding how extended rallies behave historically.

Hosted by RIA Chief Investment Strategist, Lance Roberts, CIO
Produced by Brent Clanton, Executive Producer
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