Taking on the deep-fried bears with a Piranha Test

Everyone has their own favourite leading indicator for the oft-sighted (but rarely experienced) stoc...

Everyone has their own favourite leading indicator for the oft-sighted (but rarely experienced) stock market bottom. Mine is something I like to call the Piranha Test and it is really more of an indicator of when deep-value opportunities start to be realised than a rock-solid, fundamentals-based measure. That word 'realised' is supremely important because as even deep-fried bears accept it is one thing to say markets are 'cheap' and quite another thing for the opinion to have any impact on the share price. This observation is important if we are heading into the dark valley signposted...