It seems like a distinct possibility that the current market pullback could last for an extended period. Of course, I do not know the exact path the market will take moving forward, but the best thing we as investors can do is prepare for all the possible scenarios ahead of us, especially the worst case.
If markets rebound from here, investors can resume the strategies we were all using before, following the AI boom and owning tech stocks. However, in the case of a further downturn and even a possible bear market, I have some ideas for how to get defensive and hopefully even turn a profit.
There is one sector in the market that is showing obvious outperformance over the last week, month, and YTD and boasts some of the cheapest companies in the market… see what it is.
This post originally appeared at Zacks.